Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 31, 2017 | Jun. 30, 2016 | |
Document and Entity Information [Abstract] | |||
Entity Registrant Name | HUNTINGTON BANCSHARES INC/MD | ||
Entity Central Index Key | 49,196 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2016 | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Public Float | $ 6,959,125,311 | ||
Entity Common Stock, Shares Outstanding | 1,085,887,404 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | |
Assets | |||
Cash and due from banks | $ 1,384,770 | $ 847,156 | |
Interest-bearing deposits in banks | 58,267 | 51,838 | |
Trading account securities | 133,295 | 36,997 | |
Loans held for sale | 512,951 | 474,621 | |
Available-for-sale and other securities | 15,562,837 | 8,775,441 | |
Held-to-maturity securities | 7,806,939 | 6,159,590 | |
Loans and leases (includes $82,319 and $34,637 respectively, measured at fair value) | |||
Commercial and industrial loans and leases | 28,058,712 | 20,559,834 | |
Commercial real estate loans | 7,300,901 | 5,268,651 | |
Automobile loans | 10,968,782 | 9,480,678 | |
Home equity loans | 10,105,774 | 8,470,482 | |
Residential mortgage loans | 7,724,961 | 5,998,400 | |
RV and marine finance loans | 1,846,447 | 0 | |
Other consumer loans | [1] | 956,419 | 563,054 |
Loans and leases | 66,961,996 | 50,341,099 | |
Allowance for loan and lease losses | (638,413) | (597,843) | |
Net loans and leases | 66,323,583 | 49,743,256 | |
Bank owned life insurance | 2,432,086 | 1,757,668 | |
Premises and equipment | 815,508 | 620,540 | |
Goodwill | 1,992,849 | 676,869 | |
Other intangible assets | 402,458 | 54,978 | |
Servicing rights | 225,578 | 189,237 | |
Accrued income and other assets | 2,062,976 | 1,630,110 | |
Total assets | 99,714,097 | 71,018,301 | |
Deposits in domestic offices | |||
Demand deposits—noninterest-bearing | 22,835,798 | 16,479,984 | |
Interest-bearing | 52,771,919 | 38,547,587 | |
Deposits in foreign offices | 0 | 267,408 | |
Deposits | 75,607,717 | 55,294,979 | |
Short-term borrowings | 3,692,654 | 615,279 | |
Long-term debt | 8,309,159 | 7,041,364 | |
Accrued expenses and other liabilities | 1,796,421 | 1,472,073 | |
Total liabilities | 89,405,951 | 64,423,695 | |
Commitments and contingencies | |||
PreferredStockRedeemableandNonRedeemableValue | 1,071,227 | 386,291 | |
Preferred Stock, Value, Outstanding | 1,071,227 | ||
Shareholders’ equity | |||
Common stock | 10,886 | 7,970 | |
Capital surplus | 9,881,277 | 7,038,502 | |
Less treasury shares, at cost | (27,384) | (17,932) | |
Accumulated other comprehensive loss | (401,016) | (226,158) | |
Retained (deficit) earnings | (226,844) | (594,067) | |
Total shareholders’ equity | 10,308,146 | 6,594,606 | |
Total liabilities and shareholders’ equity | $ 99,714,097 | $ 71,018,301 | |
Common shares authorized (par value of $0.01) (in shares) | 1,500,000,000 | 1,500,000,000 | |
Common shares issued (in shares) | 1,088,641,251 | 796,969,694 | |
Common shares outstanding (in shares) | 1,085,688,538 | 794,928,886 | |
Treasury shares outstanding (in shares) | 2,952,713 | 2,040,808 | |
Preferred Stock, Shares Authorized | 6,617,808 | 6,617,808 | |
Preferred shares issued (in shares) | 2,702,571 | 1,967,071 | |
Preferred shares outstanding (in shares) | 1,098,006 | 398,006 | |
Series A Preferred Stock | |||
Deposits in domestic offices | |||
Preferred Stock, Value, Outstanding | $ 362,506 | ||
Shareholders’ equity | |||
Total shareholders’ equity | $ 386,291 | ||
Preferred shares outstanding (in shares) | 362,506 | ||
Series B Preferred Stock | |||
Deposits in domestic offices | |||
Preferred Stock, Value, Outstanding | $ 23,785 | ||
Shareholders’ equity | |||
Preferred shares outstanding (in shares) | 35,500 | ||
[1] | Amounts represent loans for which Huntington has elected the fair value option. |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Assets | ||
Loans held for sale, fair value | $ 438,224 | $ 337,577 |
Loans and leases, fair value | $ 82,319 | $ 34,637 |
Shareholders’ equity | ||
Common stock, par value (in usd per share) | $ 0.01 | $ 0.01 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Interest and fee income: | |||
Loans and leases | $ 2,178,044 | $ 1,759,525 | $ 1,674,563 |
Available-for-sale and other securities | |||
Taxable | 221,782 | 202,104 | 171,080 |
Tax-exempt | 58,853 | 42,014 | 28,965 |
Held-to-maturity securities | 138,312 | 86,614 | 88,724 |
Other | 35,122 | 24,264 | 13,130 |
Total interest income | 2,632,113 | 2,114,521 | 1,976,462 |
Interest expense | |||
Deposits | 102,005 | 82,175 | 86,453 |
Short-term borrowings | 5,140 | 1,584 | 2,940 |
Federal Home Loan Bank advances | 274 | 586 | 1,011 |
Subordinated notes and other long-term debt | 155,376 | 79,439 | 48,917 |
Total interest expense | 262,795 | 163,784 | 139,321 |
Net interest income | 2,369,318 | 1,950,737 | 1,837,141 |
Provision for credit losses | 190,802 | 99,954 | 80,989 |
Net interest income after provision for credit losses | 2,178,516 | 1,850,783 | 1,756,152 |
Service charges on deposit accounts | 324,299 | 280,349 | 273,741 |
Cards and payment processing income | 169,064 | 142,715 | 105,401 |
Mortgage banking income | 128,257 | 111,853 | 84,887 |
Trust services | 108,274 | 105,833 | 115,972 |
Insurance income | 64,523 | 65,264 | 65,473 |
Brokerage income | 61,834 | 60,205 | 68,277 |
Capital markets fees | 59,527 | 53,616 | 43,731 |
Bank owned life insurance income | 57,567 | 52,400 | 57,048 |
Gain on sale of loans | 47,153 | 33,037 | 21,091 |
Net gains on sales of securities | 2,035 | 3,184 | 17,554 |
Impairment losses recognized in earnings on available-for-sale securities | (2,119) | (2,440) | 0 |
Other income | 129,317 | 132,714 | 126,004 |
Total noninterest income | 1,149,731 | 1,038,730 | 979,179 |
Personnel costs | 1,349,124 | 1,122,182 | 1,048,775 |
Outside data processing and other services | 304,743 | 231,353 | 212,586 |
Equipment | 164,839 | 124,957 | 119,663 |
Net occupancy | 153,090 | 121,881 | 128,076 |
Professional services | 105,266 | 50,291 | 59,555 |
Marketing | 62,957 | 52,213 | 50,560 |
Deposit and other insurance expense | 54,107 | 44,609 | 49,044 |
Amortization of intangibles | 30,456 | 27,867 | 39,277 |
Other expense | 183,903 | 200,555 | 174,810 |
Total noninterest expense | 2,408,485 | 1,975,908 | 1,882,346 |
Income before income taxes | 919,762 | 913,605 | 852,985 |
Provision for income taxes | 207,941 | 220,648 | 220,593 |
Net income | 711,821 | 692,957 | 632,392 |
Dividends on preferred shares | 65,274 | 31,873 | 31,854 |
Net income available to common shareholders | $ 646,547 | $ 661,084 | $ 600,538 |
Average common shares—basic (in shares) | 904,438 | 803,412 | 819,917 |
Average common shares—diluted (in shares) | 918,790 | 817,129 | 833,081 |
Per common share: | |||
Net income - basic (in USD per share) | $ 0.72 | $ 0.82 | $ 0.73 |
Net income - diluted (in USD per share) | 0.70 | 0.81 | 0.72 |
Cash dividends declared, prior period (in USD per share) | $ 0.29 | $ 0.25 | $ 0.21 |
Impairment losses on available-for-sale securities: | |||
Total OTTI losses | $ (5,851) | $ (3,144) | $ 0 |
Noncredit-related portion of loss recognized in other comprehensive income | 3,732 | 704 | 0 |
Impairment losses recognized in earnings on available-for-sale securities | $ (2,119) | $ (2,440) | $ 0 |
Consolidated Statement of Compr
Consolidated Statement of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 711,821 | $ 692,957 | $ 632,392 |
Other than Temporary Impairment Losses, Investments, Portion in Other Comprehensive Loss, Net of Tax, Portion Attributable to Parent | 585 | 12,673 | 8,780 |
Other Comprehensive (Income) Loss, Reclassification Adjustment from AOCI for Write-down of Securities, Net of Tax | 585 | 12,673 | 8,780 |
Unrealized gains (losses) on available-for-sale and other securities: | |||
Unrealized net gains (losses) on available-for-sale and other securities arising during the period, net of reclassification for net realized gains and losses | (201,599) | (19,757) | 45,783 |
Total unrealized gains (losses) on available-for-sale securities | (201,014) | (7,084) | 54,563 |
Unrealized gains on cash flow hedging derivatives, net of reclassifications to income | 1,314 | 8,285 | 6,611 |
Change in accumulated unrealized gains (losses) for pension and other post-retirement obligations | 24,842 | (5,067) | (69,457) |
Other comprehensive loss, net of tax | (174,858) | (3,866) | (8,283) |
Comprehensive income | $ 536,963 | $ 689,091 | $ 624,109 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock | Capital Surplus | Treasury Stock | Accumulated Other Comprehensive Loss | Retained Earnings (Deficit) | Series A Preferred Stock | Series A Preferred StockRetained Earnings (Deficit) | Series B Preferred Stock | Series B Preferred StockRetained Earnings (Deficit) | Series C Preferred Stock | Series C Preferred StockRetained Earnings (Deficit) | Capital Surplus | Series D Preferred Stock | Series D Preferred StockRetained Earnings (Deficit) |
Beginning balance (in shares) at Dec. 31, 2013 | 832,217 | 1,331 | |||||||||||||
Beginning balance at Dec. 31, 2013 | $ 6,090,153 | $ 8,322 | $ 7,398,515 | $ (9,643) | $ (214,009) | $ (1,479,324) | $ 386,292 | ||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||
Net income | 632,392 | 632,392 | |||||||||||||
Other comprehensive income (loss) | (8,283) | (8,283) | |||||||||||||
Purchase of common stock (in shares) | (35,709) | ||||||||||||||
Repurchases of common stock | (334,429) | $ (357) | (334,072) | ||||||||||||
Cash dividends declared: | |||||||||||||||
Common shares dividend (in USD per share) | (171,692) | (171,692) | |||||||||||||
Preferred shares dividend (in USD per share) | (30,813) | $ (30,813) | $ (1,041) | $ (1,041) | |||||||||||
Shares issued pursuant to acquisition (in shares) | 8,694 | ||||||||||||||
Shares issued pursuant to acquisition | 91,664 | $ 87 | 91,577 | ||||||||||||
Recognition of the fair value of share-based compensation | 43,666 | 43,666 | |||||||||||||
Other share based compensation activity, (in shares) | 6,752 | ||||||||||||||
Other share-based compensation activity | (15,513) | $ (68) | (17,219) | (1,774) | |||||||||||
Other (in shares) | (1,182) | (351) | |||||||||||||
Other | 1,040 | $ (11) | 4,840 | $ (3,739) | (72) | ||||||||||
Ending balance (in share) at Dec. 31, 2014 | 813,136 | 1,682 | |||||||||||||
Ending balance at Dec. 31, 2014 | 6,328,170 | $ 8,131 | 7,221,745 | $ (13,382) | (222,292) | (1,052,324) | 386,292 | ||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||
Net income | 692,957 | 692,957 | |||||||||||||
Other comprehensive income (loss) | (3,866) | (3,866) | |||||||||||||
Purchase of common stock (in shares) | (23,036) | ||||||||||||||
Repurchases of common stock | (251,844) | $ (230) | (251,614) | ||||||||||||
Cash dividends declared: | |||||||||||||||
Common shares dividend (in USD per share) | (200,197) | (200,197) | |||||||||||||
Preferred shares dividend (in USD per share) | (30,813) | (30,813) | (1,059) | (1,059) | |||||||||||
Conversion of stock (in share) | 0 | 1 | (1) | ||||||||||||
Recognition of the fair value of share-based compensation | 51,415 | 51,415 | |||||||||||||
Other share based compensation activity, (in shares) | 6,784 | ||||||||||||||
Other share-based compensation activity | (13,492) | $ (68) | (16,068) | (2,644) | |||||||||||
Other (in shares) | (86) | (359) | |||||||||||||
Other | (3,649) | $ (1) | 887 | $ (4,550) | 13 | ||||||||||
Ending balance (in share) at Dec. 31, 2015 | 796,970 | (2,041) | |||||||||||||
Ending balance at Dec. 31, 2015 | 6,594,606 | $ 7,970 | 7,038,502 | $ (17,932) | (226,158) | (594,067) | 386,291 | ||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||
Net income | 711,821 | 711,821 | |||||||||||||
Other comprehensive income (loss) | (174,858) | (174,858) | |||||||||||||
Cash dividends declared: | |||||||||||||||
Common shares dividend (in USD per share) | (274,780) | (274,780) | |||||||||||||
Preferred shares dividend (in USD per share) | $ (30,813) | $ (30,813) | $ (1,208) | $ (1,208) | $ (2,628) | $ (2,628) | $ (30,625) | $ (30,625) | |||||||
Shares issued pursuant to acquisition (in shares) | 285,425 | ||||||||||||||
Shares issued pursuant to acquisition | 2,766,773 | $ 2,854 | 2,763,919 | ||||||||||||
Stock Issued During Period, Value, Other | 104,320 | $ 100,000 | $ 4,320 | ||||||||||||
Stock Issued During Period, Value, New Issues | 584,936 | $ 584,936 | |||||||||||||
Recognition of the fair value of share-based compensation | 65,608 | 65,608 | |||||||||||||
Other share based compensation activity, (in shares) | 5,924 | ||||||||||||||
Other share-based compensation activity | (988) | $ (59) | (5,483) | 4,554 | |||||||||||
Other (in shares) | 322 | (912) | |||||||||||||
Other | (5,994) | $ 3 | 3,445 | $ (9,452) | 10 | ||||||||||
Ending balance (in share) at Dec. 31, 2016 | 1,088,641 | (2,953) | |||||||||||||
Ending balance at Dec. 31, 2016 | $ 10,308,146 | $ 10,886 | $ 9,881,277 | $ (27,384) | $ (401,016) | $ (226,844) |
Consolidated Statements of Cha7
Consolidated Statements of Changes in Shareholders' Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Cash dividends declared: | |||
Common stock, cash dividend per share (in USD per share) | $ 0.29 | $ 0.25 | $ 0.21 |
Series A Preferred Stock | |||
Cash dividends declared: | |||
Preferred stock dividend per share (in usd per share) | 85 | 85 | 85 |
Series B Preferred Stock | |||
Cash dividends declared: | |||
Preferred stock dividend per share (in usd per share) | $ 34.03 | $ 29.84 | $ 29.33 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Operating activities | |||
Net income | $ 711,821 | $ 692,957 | $ 632,392 |
Adjustments to reconcile net income to net cash provided by (used for) operating activities: | |||
Impairment of goodwill | 0 | 0 | 3,000 |
Provision for credit losses | 190,802 | 99,954 | 80,989 |
Depreciation and amortization | 379,772 | 341,281 | 332,832 |
Share-based compensation expense | 65,608 | 51,415 | 43,666 |
Net gains on sales of securities | (2,035) | (3,184) | (17,554) |
Impairment losses recognized in earnings on available-for-sale securities | 2,119 | 2,440 | 0 |
Net Change in: | |||
Trading account securities | (96,298) | 5,194 | (6,618) |
Loans held for sale | (123,047) | 53,765 | (58,803) |
Accrued income and other assets | (95,758) | (233,624) | (438,366) |
Deferred income taxes | 164,747 | 68,776 | 35,174 |
Accrued expense and other liabilities | 4,001 | (34,846) | 282,074 |
Other, net | 13,570 | (10,766) | 0 |
Net cash provided by (used for) operating activities | 1,215,302 | 1,033,362 | 888,786 |
Investing activities | |||
Decrease (increase) in interest-bearing deposits in banks | 26,067 | 12,721 | (7,516) |
Net cash (paid) received in acquisitions | (133,218) | (457,836) | 691,637 |
Proceeds from: | |||
Maturities and calls of available-for-sale securities | 2,113,383 | 1,907,669 | 1,480,505 |
Maturities of held-to-maturity securities | 1,212,179 | 594,905 | 452,785 |
Sales of available-for-sale securities | 6,154,326 | 163,224 | 1,152,907 |
Purchases of available-for-sale securities | (10,887,582) | (4,506,764) | (4,553,857) |
Purchases of held-to-maturity securities | 0 | (379,351) | 0 |
Net proceeds from sales of loans | 2,981,184 | 1,304,309 | 353,811 |
Net loan and lease activity, excluding sales and purchases | (3,950,901) | (3,186,775) | (4,232,350) |
Proceeds from sale of operating lease assets | 0 | 2,227 | 17,591 |
Purchases of premises and equipment | (120,438) | (93,097) | (58,862) |
Proceeds from sales of other real estate | 50,299 | 36,038 | 38,479 |
Purchases of loans and leases | (410,625) | (333,726) | (345,039) |
Cash Provided by (Used in) Investing Activities, Discontinued Operations | (479,571) | 0 | 0 |
Purchases of customer lists | 0 | 0 | (946) |
Other, net | (456) | 7,802 | 6,074 |
Net cash provided by (used for) investing activities | (3,445,353) | (4,928,654) | (5,004,781) |
Financing activities | |||
Increase (decrease) in deposits | (292,259) | 3,644,492 | 2,923,928 |
Increase (decrease) in short-term borrowings | 1,899,561 | (1,818,947) | 118,698 |
Sale of deposits | 0 | (47,521) | 0 |
Proceeds from issuance of long-term debt | 2,127,750 | 3,232,227 | 2,000,000 |
Maturity/redemption of long-term debt | (1,274,838) | (1,036,717) | (198,922) |
Dividends paid on preferred stock | (54,380) | (31,872) | (31,854) |
Dividends paid on common stock | (245,208) | (192,518) | (166,935) |
Repurchase of common stock | 0 | (251,844) | (334,429) |
Proceeds from stock options exercised | 16,981 | 19,000 | 17,710 |
Net proceeds from issuance of common stock | 0 | 0 | 2,597 |
Net proceeds from issuance of preferred stock | 584,936 | 0 | 0 |
Other, net | 5,122 | 5,583 | 4,635 |
Net cash provided by (used for) financing activities | 2,767,665 | 3,521,883 | 4,335,428 |
Increase (decrease) in cash and cash equivalents | 537,614 | (373,409) | 219,433 |
Cash and cash equivalents at beginning of period | 847,156 | 1,220,565 | 1,001,132 |
Cash and cash equivalents at end of period | 1,384,770 | 847,156 | 1,220,565 |
Supplemental disclosures: | |||
Interest paid | 241,073 | 153,590 | 131,488 |
Income taxes paid | 4,979 | 150,403 | 139,918 |
Non-cash activities: | |||
Loans transferred to held-for-sale from portfolio | 3,436,692 | 1,727,440 | 96,643 |
Loans transferred to portfolio from held-for-sale | 481,516 | 278,080 | 45,240 |
Transfer of loans to OREO | 78,693 | 24,625 | 39,066 |
Transfer of securities to held-to-maturity from available-for-sale | $ 2,870,257 | $ 3,000,180 | $ 0 |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
SIGNIFICANT ACCOUNTING POLICIES | SIGNIFICANT ACCOUNTING POLICIES Nature of Operations — Huntington Bancshares Incorporated (Huntington or the Company) is a multi-state diversified regional bank holding company organized under Maryland law in 1966 and headquartered in Columbus, Ohio. Through its subsidiaries, including its bank subsidiary, The Huntington National Bank (the Bank), Huntington is engaged in providing full-service commercial, small business, consumer banking services, mortgage banking services, automobile financing, recreational vehicle and marine financing, equipment leasing, investment management, trust services, brokerage services, customized insurance programs, and other financial products and services. Huntington’s banking offices are located in Ohio, Illinois, Michigan, Pennsylvania, Indiana, West Virginia, Wisconsin and Kentucky. Select financial services and other activities are also conducted in various other states. International banking services are available through the headquarters office in Columbus, Ohio. Basis of Presentation — The Consolidated Financial Statements include the accounts of Huntington and its majority-owned subsidiaries and are presented in accordance with GAAP. All intercompany transactions and balances have been eliminated in consolidation. Companies in which Huntington holds more than a 50% voting equity interest, or a controlling financial interest, or are a VIE in which Huntington has the power to direct the activities of an entity that most significantly impact the entity’s economic performance and has an obligation to absorb losses or the right to receive benefits from the VIE which could potentially be significant to the VIE are consolidated. VIEs are legal entities with insubstantial equity, whose equity investors lack the ability to make decisions about the entity’s activities, or whose equity investors do not have the obligation to absorb losses or the right to receive the residual returns of the entity if they occur. VIEs in which Huntington does not hold the power to direct the activities of the entity that most significantly impact the entity’s economic performance or does not have an obligation to absorb losses or the right to receive benefits from the VIE which could potentially be significant to the VIE are not consolidated. For consolidated entities where Huntington holds less than a 100% interest, Huntington recognizes non-controlling interest (included in shareholders’ equity) for the equity held by others and non-controlling profit or loss (included in noninterest expense) for the portion of the entity’s earnings attributable to other’s interests. Investments in companies that are not consolidated are accounted for using the equity method when Huntington has the ability to exert significant influence. Those investments in nonmarketable securities for which Huntington does not have the ability to exert significant influence are generally accounted for using the cost method. Investments in private investment partnerships that are accounted for under the equity method or the cost method are included in Accrued income and other assets and Huntington’s proportional interest in the equity investments’ earnings are included in other noninterest income. Investment interests accounted for under the cost and equity methods are periodically evaluated for impairment. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that significantly affect amounts reported in the Consolidated Financial Statements. Huntington utilizes processes that involve the use of significant estimates and the judgments of management in determining the amount of its allowance for credit losses, income taxes deferred tax assets, and contingent liabilities, as well as fair value measurements of investment securities, derivatives, goodwill, other intangible assets, pension assets and liabilities, short-term borrowings, mortgage servicing rights, and loans held for sale. As with any estimate, actual results could differ from those estimates. For statements of cash flows purposes, cash and cash equivalents are defined as the sum of Cash and due from banks, which includes amounts on deposit with the Federal Reserve and Federal funds sold and securities purchased under resale agreements. Certain prior period amounts have been reclassified to conform to the current year’s presentation. Resale and Repurchase Agreements — Securities purchased under agreements to resell and securities sold under agreements to repurchase are treated as collateralized financing transactions and are recorded at the amounts at which the securities were acquired or sold plus accrued interest. The fair value of collateral either received from or provided to a third-party is continually monitored and additional collateral is obtained or requested to be returned to Huntington in accordance with the agreement. Securities — Securities purchased with the intention of recognizing short-term profits or which are actively bought and sold are classified as trading account securities and reported at fair value. The unrealized gains or losses on trading account securities are recorded in other noninterest income, except for gains and losses on trading account securities used to economically hedge the fair value of MSRs, which are included in mortgage banking income. Debt securities purchased in which Huntington has the positive intent and ability to hold to their maturity are classified as held-to-maturity securities. Held-to-maturity securities are recorded at amortized cost. All other debt and equity securities are classified as available-for-sale and other securities. Unrealized gains or losses on available-for-sale and other securities are reported as a separate component of accumulated OCI in the Consolidated Statements of Changes in Shareholders’ Equity. Credit-related declines in the value of debt securities that are considered OTTI are recorded in noninterest income. Huntington evaluates its investment securities portfolio on a quarterly basis for indicators of OTTI. Huntington assesses whether OTTI has occurred when the fair value of a debt security is less than the amortized cost basis at the balance sheet date. Management reviews the amount of unrealized loss, the length of time the security has been in an unrealized loss position, the credit rating history, market trends of similar security classes, time remaining to maturity, and the source of both interest and principal payments to identify securities which could potentially be impaired. For those debt securities that Huntington intends to sell or is more likely than not required to sell, before the recovery of their amortized cost bases, the difference between fair value and amortized cost is considered to be OTTI and is recognized in noninterest income. For those debt securities that Huntington does not intend to sell or is not more likely than not required to sell, prior to expected recovery of amortized cost bases, the credit portion of the OTTI is recognized in noninterest income while the noncredit portion is recognized on OCI. In determining the credit portion, Huntington uses a discounted cash flow analysis, which includes evaluating the timing and amount of the expected cash flows. Non-credit-related OTTI results from other factors, including increased liquidity spreads and higher interest rates. Presentation of OTTI is made in the Consolidated Statements of Income on a gross basis with a reduction for the amount of OTTI recognized in OCI. Securities transactions are recognized on the trade date (the date the order to buy or sell is executed). The carrying value plus any related accumulated OCI balance of sold securities is used to compute realized gains and losses. Interest and dividends on securities, including amortization of premiums and accretion of discounts using the effective interest method over the period to maturity, are included in interest income. Nonmarketable equity securities include stock acquired for regulatory purposes, such as Federal Home Loan Bank stock and Federal Reserve Bank stock. These securities are accounted for at cost, evaluated for impairment, and included in available-for-sale and other securities. Loans and Leases — Loans and direct financing leases for which Huntington has the intent and ability to hold for the foreseeable future, or until maturity or payoff, are classified in the Consolidated Balance Sheets as loans and leases. Except for loans for which the fair value option has been elected, loans and leases are carried at the principal amount outstanding, net of unamortized deferred loan origination fees and costs and net of unearned income. Direct financing leases are reported at the aggregate of lease payments receivable and estimated residual values, net of unearned and deferred income. Interest income is accrued as earned using the interest method based on unpaid principal balances. Huntington defers the fees it receives from the origination of loans and leases, as well as the direct costs of those activities. Huntington also acquires loans at a premium and at a discount to their contractual values. Huntington amortizes loan discounts, premiums, and net loan origination fees and costs on a level-yield basis over the contractual lives of the related loans, which would not include purchased credit impaired loans. Troubled debt restructurings are loans for which the original contractual terms have been modified to provide a concession to a borrower experiencing financial difficulties. Loan modifications are considered TDRs when the concessions provided are not available to the borrower through either normal channels or other sources. However, not all loan modifications are TDRs. Modifications resulting in troubled debt restructurings may include changes to one or more terms of the loan, including but not limited to, a change in interest rate, an extension of the repayment period, a reduction in payment amount, and partial forgiveness or deferment of principal or accrued interest. Residual values on leased equipment are evaluated quarterly for impairment. Impairment of the residual values of direct financing leases determined to be other than temporary is recognized by writing the leases down to fair value with a charge to other noninterest expense. Leased equipment residual value impairment will arise if the expected fair value is less than the carrying amount, net of estimated amounts reimbursable by the lessee. Future declines in the expected residual value of the leased equipment would result in expected losses of the leased equipment. For leased equipment, the residual component of a direct financing lease represents the estimated fair value of the leased equipment at the end of the lease term. Huntington uses industry data, historical experience, and independent appraisals to establish these residual value estimates. Additional information regarding product life cycle, product upgrades, as well as insight into competing products are obtained through relationships with industry contacts and are factored into residual value estimates where applicable. Loans Held for Sale — Loans in which Huntington does not have the intent and ability to hold for the foreseeable future are classified as loans held for sale. Loans held for sale (excluding loans originated or acquired with the intent to sell, which are carried at fair value) are carried at the lower of cost or fair value less cost to sell. The fair value option is generally elected for mortgage loans held for sale to facilitate hedging of the loans. The fair value of such loans is estimated based on the inputs that include prices of mortgage backed securities adjusted for other variables such as, interest rates, expected credit defaults and market discount rates. The adjusted value reflects the price we expect to receive from the sale of such loans. Allowance for Credit Losses — Huntington maintains two reserves, both of which reflect management’s judgment regarding the appropriate level necessary to absorb credit losses inherent in our loan and lease portfolio: the ALLL and the AULC. Combined, these reserves comprise the total ACL. The determination of the ACL requires significant estimates, including the timing and amounts of expected future cash flows on impaired loans and leases, consideration of current economic conditions, and historical loss experience pertaining to pools of homogeneous loans and leases, all of which may be susceptible to change. The appropriateness of the ACL is based on management’s current judgments about the credit quality of the loan portfolio. These judgments consider on-going evaluations of the loan and lease portfolio, including such factors as the differing economic risks associated with each loan category, the financial condition of specific borrowers, the level of delinquent loans, the value of any collateral and, where applicable, the existence of any guarantees or other documented support. Further, management evaluates the impact of changes in interest rates and overall economic conditions on the ability of borrowers to meet their financial obligations when quantifying our exposure to credit losses and assessing the appropriateness of our ACL at each reporting date. In addition to general economic conditions and the other factors described above, additional factors also considered include: the impact of increasing or decreasing commercial real estate values and the development of new or expanded Commercial business segments. Also, the ACL assessment includes the on-going assessment of credit quality metrics, and a comparison of certain ACL benchmarks to current performance. The ALLL consists of two components: (1) the transaction reserve, which includes a loan level allocation, specific reserves related to loans considered to be impaired, and loans involved in troubled debt restructurings, and (2) the general reserve. The transaction reserve component includes both (1) an estimate of loss based on pools of commercial and consumer loans and leases with similar characteristics and (2) an estimate of loss based on an impairment review of each impaired C&I and CRE loan where obligor balance is greater than $1.0 million . For the C&I and CRE portfolios, the estimate of loss based on pools of loans and leases with similar characteristics is made by applying a PD factor and a LGD factor to each individual loan based on a regularly updated loan grade, using a standardized loan grading system. The PD factor and an LGD factor are determined for each loan grade using statistical models based on historical performance data. The PD factor considers on-going reviews of the financial performance of the specific borrower, including cash flow, debt-service coverage ratio, earnings power, debt level, and equity position, in conjunction with an assessment of the borrower’s industry and future prospects. The LGD factor considers analysis of the type of collateral and the relative LTV ratio. These reserve factors are developed based on credit migration models that track historical movements of loans between loan ratings over time and a combination of long-term average loss experience of our own portfolio and external industry data. In the case of more homogeneous portfolios, such as automobile loans, home equity loans, and residential mortgage loans, the determination of the transaction reserve also incorporates PD and LGD factors. The estimate of loss is based on pools of loans and leases with similar characteristics. The PD factor considers current credit scores unless the account is delinquent, in which case a higher PD factor is used. The credit score provides a basis for understanding the borrower’s past and current payment performance, and this information is used to estimate expected losses over the emergence period. The performance of first-lien loans ahead of our junior-lien loans is available to use as part of our updated score process. The LGD factor considers analysis of the type of collateral and the relative LTV ratio. Credit scores, models, analyses, and other factors used to determine both the PD and LGD factors are updated frequently to capture the recent behavioral characteristics of the subject portfolios, as well as any changes in loss mitigation or credit origination strategies, and adjustments to the reserve factors are made as required. The general reserve consists of various risk-profile reserve components. The risk-profile component considers items unique to our structure, policies, processes, and portfolio composition, as well as qualitative measurements and assessments of the loan portfolios including, but not limited to, management quality, concentrations, portfolio composition, industry comparisons, and internal review functions. The estimate for the AULC is determined using the same procedures and methodologies as used for the ALLL. The loss factors used in the AULC are the same as the loss factors used in the ALLL while also considering a historical utilization of unused commitments. The AULC is recorded in Accrued expenses and other liabilities in the Consolidated Balance Sheets. Nonaccrual and Past Due Loans — Loans are considered past due when the contractual amounts due with respect to principal and interest are not received within 30 days of the contractual due date. Any loan in any portfolio may be placed on nonaccrual status prior to the policies described below when collection of principal or interest is in doubt. When a borrower with debt is discharged in a Chapter 7 bankruptcy and not reaffirmed by the borrower, the loan is determined to be collateral dependent and placed on nonaccrual status, unless there is a co-borrower. All classes within the C&I and CRE portfolios (except for purchased credit-impaired loans) are placed on nonaccrual status at 90 -days past due. First-lien home equity loans are placed on nonaccrual status at 150 -days past due. Junior-lien home equity loans are placed on nonaccrual status at the earlier of 120 -days past due or when the related first-lien loan has been identified as nonaccrual. Automobile and other consumer loans are generally charged-off when the loan is 120 -days past due. Residential mortgage loans are placed on nonaccrual status at 150 -days past due, with the exception of residential mortgages guaranteed by government agencies which continue to accrue interest at the rate guaranteed by the government agency. We are reimbursed from the government agency for reasonable expenses incurred in servicing loans. For all classes within all loan portfolios, when a loan is placed on nonaccrual status, any accrued interest income is reversed with current year accruals charged to interest income, and prior year amounts charged-off as a credit loss. For all classes within all loan portfolios, cash receipts on NALs are applied against principal until the loan or lease has been collected in full, including charged-off portion, after which time any additional cash receipts are recognized as interest income. However, for secured non-reaffirmed debt in a Chapter 7 bankruptcy, payments are applied to principal and interest when the borrower has demonstrated a capacity to continue payment of the debt and collection of the debt is reasonably assured. For unsecured non-reaffirmed debt in a Chapter 7 bankruptcy where the carrying value has been fully charged-off, payments are recorded as loan recoveries. Regarding all classes within the C&I and CRE portfolios, the determination of a borrower’s ability to make the required principal and interest payments is based on an examination of the borrower’s current financial statements, industry, management capabilities, and other qualitative measures. For all classes within the consumer loan portfolio, the determination of a borrower’s ability to make the required principal and interest payments is based on multiple factors, including number of days past due and, in some instances, an evaluation of the borrower’s financial condition. When, in management’s judgment, the borrower’s ability to make required principal and interest payments resumes and collectability is no longer in doubt, supported by sustained repayment history, the loan is returned to accrual status. For these loans that have been returned to accrual status, cash receipts are applied according to the contractual terms of the loan. Charge-off of Uncollectible Loans — Any loan in any portfolio may be charged-off prior to the policies described below if a loss confirming event has occurred. Loss confirming events include, but are not limited to, bankruptcy (unsecured), continued delinquency, foreclosure, or receipt of an asset valuation indicating a collateral deficiency and that asset is the sole source of repayment. Additionally, discharged, collateral dependent non-reaffirmed debt in Chapter 7 bankruptcy filings will result in a charge-off to estimated collateral value, less anticipated selling costs. C&I and CRE loans are either charged-off or written down to net realizable value at 90 -days past due. Automobile loans and other consumer loans are charged-off at 120 -days past due. First-lien and junior-lien home equity loans are charged-off to the estimated fair value of the collateral, less anticipated selling costs, at 150 -days past due and 120 -days past due, respectively. Residential mortgages are charged-off to the estimated fair value of the collateral at 150 -days past due. Impaired Loans — For all classes within the C&I and CRE portfolios, all loans with an obligor balance of $1.0 million or greater are evaluated on a quarterly basis for impairment. Except for TDRs, consumer loans within any class are generally not individually evaluated on a regular basis for impairment. All TDRs, regardless of the outstanding balance amount, are also considered to be impaired. Loans acquired with evidence of deterioration in credit quality since origination for which it is probable at acquisition that all contractually required payments will not be collected are also considered to be impaired. Once a loan has been identified for an assessment of impairment, the loan is considered impaired when, based on current information and events, it is probable that all amounts due according to the contractual terms of the loan agreement will not be collected. This determination requires significant judgment and use of estimates, and the eventual outcome may differ significantly from those estimates. When a loan in any class has been determined to be impaired, the amount of the impairment is measured using the present value of expected future cash flows discounted at the loan’s effective interest rate or, as a practical expedient, the observable market price of the loan, or the fair value of the collateral, less anticipated selling costs, if the loan is collateral dependent. When the present value of expected future cash flows is used, the effective interest rate is the original contractual interest rate of the loan adjusted for any cost, fee, premium, or discount. When the contractual interest rate is variable, the effective interest rate of the loan changes over time. A specific reserve is established as a component of the ALLL when a loan has been determined to be impaired. Subsequent to the initial measurement of impairment, if there is a significant change to the impaired loan’s expected future cash flows, or if actual cash flows are significantly different from the cash flows previously estimated, Huntington recalculates the impairment and appropriately adjusts the specific reserve. Similarly, if Huntington measures impairment based on the observable market price of an impaired loan or the fair value of the collateral of an impaired collateral dependent loan, Huntington will adjust the specific reserve. When a loan within any class is impaired, the accrual of interest income is discontinued unless the receipt of principal and interest is no longer in doubt. Interest income on TDRs is accrued when all principal and interest is expected to be collected under the post-modification terms. Cash receipts on nonaccruing impaired loans within any class are generally applied entirely against principal until the loan has been collected in full (including already charged-off portion), after which time any additional cash receipts are recognized as interest income. Cash receipts on accruing impaired loans within any class are applied in the same manner as accruing loans that are not considered impaired. Purchased Credit-Impaired Loans — Purchased loans with evidence of deterioration in credit quality since origination for which it is probable at acquisition that we will be unable to collect all contractually required payments are considered to be credit impaired. Purchased credit-impaired loans are initially recorded at fair value, which is estimated by discounting the cash flows expected to be collected at the acquisition date. Because the estimate of expected cash flows reflects an estimate of future credit losses expected to be incurred over the life of the loans, an allowance for credit losses is not recorded at the acquisition date. The excess of cash flows expected at acquisition over the estimated fair value, referred to as the accretable yield, is recognized in interest income over the remaining life of the loan, or pool of loans, on a level-yield basis. The difference between the contractually required payments at acquisition and the cash flows expected to be collected at acquisition is referred to as the nonaccretable difference. A subsequent decrease in the estimate of cash flows expected to be received on purchased credit-impaired loans generally results in the recognition of an allowance for credit losses. Subsequent increases in cash flows result in reversal of any nonaccretable difference (or allowance for loan and lease losses to the extent any has been recorded) with a positive impact on interest income subsequently recognized. The measurement of cash flows involves assumptions and judgments for interest rates, prepayments, default rates, loss severity, and collateral values. All of these factors are inherently subjective and significant changes in the cash flow estimates over the life of the loan can result. Transfers of Financial Assets and Securitizations — Transfers of financial assets in which we have surrendered control over the transferred assets are accounted for as sales. In assessing whether control has been surrendered, we consider whether the transferee would be a consolidated affiliate, the existence and extent of any continuing involvement in the transferred financial assets, and the impact of all arrangements or agreements made contemporaneously with, or in contemplation of, the transfer, even if they were not entered into at the time of transfer. Control is generally considered to have been surrendered when (i) the transferred assets have been legally isolated from us or any of our consolidated affiliates, even in bankruptcy or other receivership, (ii) the transferee (or, if the transferee is an entity whose sole purpose is to engage in securitization or asset-backed financing that is constrained from pledging or exchanging the assets it receives, each third-party holder of its beneficial interests) has the right to pledge or exchange the assets (or beneficial interests) it received without any constraints that provide more than a trivial benefit to us, and (iii) neither we nor our consolidated affiliates and agents have (a) both the right and obligation under any agreement to repurchase or redeem the transferred assets before their maturity, (b) the unilateral ability to cause the holder to return specific financial assets that also provides us with a more-than-trivial benefit (other than through a cleanup call) or (c) an agreement that permits the transferee to require us to repurchase the transferred assets at a price so favorable that it is probable that it will require us to repurchase them. If the sale criteria are met, the transferred financial assets are removed from our balance sheet and a gain or loss on sale is recognized. If the sale criteria are not met, the transfer is recorded as a secured borrowing in which the assets remain on our balance sheet and the proceeds from the transaction are recognized as a liability. For the majority of financial asset transfers, it is clear whether or not we have surrendered control. For other transfers, such as in connection with complex transactions or where we have continuing involvement, we generally obtain a legal opinion as to whether the transfer results in a true sale by law. From time to time we securitize certain automobile receivables. Gains and losses on the loans and leases sold and servicing rights associated with loan and lease sales are determined when the related loans or leases are sold to either a securitization trust or third-party. For loan or lease sales with servicing retained, a servicing asset is recorded at fair value for the right to service the loans sold. Derivative Financial Instruments — A variety of derivative financial instruments, principally interest rate swaps, caps, floors, and collars, are used in asset and liability management activities to protect against the risk of adverse price or interest rate movements. These instruments provide flexibility in adjusting Huntington’s sensitivity to changes in interest rates without exposure to loss of principal and higher funding requirements. Huntington also uses derivatives, principally loan sale commitments, in hedging its mortgage loan interest rate lock commitments and its mortgage loans held for sale. Mortgage loan sale commitments and the related interest rate lock commitments are carried at fair value on the Consolidated Balance Sheets with changes in fair value reflected in mortgage banking income. Huntington also uses certain derivative financial instruments to offset changes in value of its MSRs. These derivatives consist primarily of forward interest rate agreements and forward mortgage contracts. The derivative instruments used are not designated as qualifying hedges. Accordingly, such derivatives are recorded at fair value with changes in fair value reflected in mortgage banking income. Derivative financial instruments are recorded in the Consolidated Balance Sheets as either an asset or a liability (in accrued income and other assets or accrued expenses and other liabilities, respectively) and measured at fair value. On the date a derivative contract is entered into, we designate it as either: • a qualifying hedge of the fair value of a recognized asset or liability or of an unrecognized firm commitment (fair value hedge); • a qualifying hedge of the variability of cash flows to be received or paid related to a recognized asset liability or forecasted transaction (cash flow hedge); or • a trading instrument or a non-qualifying (economic) hedge. Changes in the fair value of a derivative that has been designated and qualifies as a fair value hedge, along with the changes in the fair value of the hedged asset or liability that is attributable to the hedged risk, are recorded in current period earnings. Changes in the fair value of a derivative that has been designated and qualifies as a cash flow hedge, to the extent effective as a hedge, are recorded in accumulated other comprehensive income, net of income taxes, and reclassified into earnings in the period during which the hedged item affects earnings. Ineffectiveness in the hedging relationship is reflected in current period earnings. Changes in the fair value of derivatives held for trading purposes or which do not qualify for hedge accounting are reported in current period earnings. For those derivatives to which hedge accounting is applied, Huntington formally documents the hedging relationship and the risk management objective and strategy for undertaking the hedge. This documentation identifies the hedging instrument, the hedged item or transaction, the nature of the risk being hedged, and, unless the hedge meets all of the criteria to assume there is no ineffectiveness, the method that will be used to assess the effectiveness of the hedging instrument and how ineffectiveness will be measured. The methods utilized to assess retrospective hedge effectiveness, as well as the frequency of testing, vary based on the type of item being hedged and the designated hedge period. For specifically designated fair value hedges of certain fixed-rate debt, Huntington utilizes the short-cut method when certain criteria are met. For other fair value hedges of fixed-rate debt, including c |
ACCOUNTING STANDARDS UPDATE
ACCOUNTING STANDARDS UPDATE | 12 Months Ended |
Dec. 31, 2016 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
ACCOUNTING STANDARDS UPDATE | ACCOUNTING STANDARDS UPDATE ASU 2014-09—Revenue from Contracts with Customers (Topic 606): The amendments in ASU 2014-09 supersede the revenue recognition requirements in Topic 605, Revenue Recognition, and most industry-specific guidance. The general principle of the amendments require an entity to recognize revenue upon the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The guidance sets forth a five step approach for revenue recognition. The amendments are effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. Management intends to adopt the new guidance on January 1, 2018 using the modified retrospective approach and is well into its outlined implementation plan. In this regard, management has completed a preliminary analysis that includes (a) identification of all revenue streams included in the financial statements; (b) determination of scope exclusions to identify ‘in-scope’ revenue streams; (c) determination of size, timing, and amount of revenue recognition for in-scope items; (d) determination of sample size of contracts for further analysis; and (e) completion of limited analysis on selected contracts to evaluate the potential impact of the new guidance. The key revenue streams identified include service charges, credit card and payment processing fees, trust services fees, insurance income, brokerage services, and mortgage banking income. The new guidance is not expected to have a significant impact on Huntington’s Consolidated Financial Statements. ASU 2016-01 - Recognition and Measurement of Financial Assets and Financial Liabilities. The amendments in this Update make targeted improvements to GAAP including, but not limited to, requiring an entity to measure its equity investments with changes in the fair value recognized in the income statement; requiring an entity to present separately in OCI the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments (i.e., FVO liability); requiring public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes; assessing deferred tax assets related to a net unrealized loss on AFS securities in combination with the entity’s other deferred tax assets; and eliminating some of the disclosures required by the existing GAAP while requiring entities to present and disclose some additional information. The new guidance is effective for the fiscal period beginning after December 15, 2017, including interim periods within those fiscal years. An entity should apply the amendments as a cumulative-effect adjustment to the balance sheet as of the beginning of the fiscal year of adoption. The amendment is not expected to have a material impact on Huntington's Consolidated Financial Statements. ASU 2016-02 - Leases. This Update sets forth a new lease accounting model for lessors and lessees. For lessees, virtually all leases will be required to be recognized on the balance sheet by recording a right-of-use asset and lease liability. Subsequent accounting for leases varies depending on whether the lease is an operating lease or a finance lease. The accounting applied by a lessor is largely unchanged from that applied under the existing guidance. The ASU requires additional qualitative and quantitative disclosures with the objective of enabling users of financial statements to assess the amount, timing, and uncertainty of cash flows arising from leases. The Update is effective for the fiscal period beginning after December 15, 2018, with early application permitted. Management is currently assessing the impact of the new guidance on Huntington's Consolidated Financial Statements. Huntington expects to recognize a right-of-use asset and a lease liability for its operating lease commitments. Please refer to Note 21 for Huntington's commitments under operating lease obligations. ASU 2016-05 - Effect of Derivative Contract Novations on Existing Hedge Accounting Relationships. This Update provides accounting clarification for changes in the counterparty to a derivative instrument that has been designated as a qualified hedging instrument. Specifically, changes in the derivative counterparty should not, in and of itself, require de-designation of that hedging relationship provided that all other hedge accounting criteria continue to be met. This Update is effective for financial statements issued for fiscal years beginning after December 15, 2016 and interim periods within those fiscal years. Early application is permitted. An entity has an option to apply the amendments in this Update on either a prospective basis or a modified retrospective basis. Management does not believe the new guidance will have a significant impact on Huntington's Consolidated Financial Statements. ASU 2016-06 - Contingent Put and Call Options in Debt Instruments. This Update clarifies the requirements for assessing whether contingent call (put) options that can accelerate the payment of principal on debt instruments are clearly and closely related to their debt instruments. An entity performing the assessment set forth in this Update will be required to assess embedded call (put) options solely in accordance with the four-step decision sequence. This Update is effective for financial statements issued for fiscal years beginning after December 15, 2016 and interim periods within those fiscal years. Early adoption is permitted. An entity should apply this Update on a modified retrospective basis to existing debt instruments as of the beginning of the fiscal year for which the amendments are effective. This Update is not expected to have a significant impact on Huntington's Consolidated Financial Statements. ASU 2016-07 - Simplifying the Transition to the Equity Method of Accounting. This Update eliminates the requirement for the retrospective use of the equity method of accounting as a result of an increase in the level of ownership interest or degree of influence of an investor. The amendments require that the equity method investor add the cost of acquiring the additional interest in the investee to the current basis of the investor’s previously held interest and adopt the equity method of accounting as of the date the investment becomes qualified for the equity method accounting. This Update is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2016. The amendments are not expected to have a significant impact on Huntington's Consolidated Financial Statements. ASU 2016-09 - Improvements to Employee Share-Based Payment Accounting. This Update simplifies several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification in the statement of cash flows. The amendments, among other things, require all tax benefits and tax deficiencies related to share-based awards to be recognized in the income statement. Other changes include an election related to the accounting for forfeitures, changes to the cash flow statement presentation for excess tax benefits, as well as for cash paid by an employer when directly withholding shares for tax withholding purposes. The amendments are effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods. Early adoption is permitted for any entity in any interim or annual period. This Update was adopted in the current reporting period with no significant impact recognized on Huntington’s Consolidated Financial Statements. ASU 2016-13 - Financial Instruments - Credit Losses. The amendments in this Update eliminate the probable recognition threshold for credit losses on financial assets measured at amortized cost. The Update requires those financial assets to be presented at the net amount expected to be collected (i.e., net of expected credit losses). The measurement of expected credit losses should be based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectibility of the reported amount. The Update is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted for fiscal years beginning after December 15, 2018. The amendments should be applied through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. Management currently intends to adopt the guidance on January 1, 2020 and is assessing the impact of this Update on Huntington's Consolidated Financial Statements. Management has formed a working group comprising of teams from different disciplines including credit and finance. The working group is currently evaluating the requirements of the new standard and the impact it will have on our processes. The early stages of this evaluation include a review of existing credit models to identify areas where existing credit models used to comply with other regulatory requirements may be leveraged and areas where new impairment models may be required. ASU 2016-15 - Classification of Certain Cash Receipts and Cash Payments. The amendments in this Update add or clarify guidance on the classification of certain cash receipts and payments in the statement of cash flows. Current guidance lacks consistent principles for evaluating the classification of cash payments and receipts in the statement of cash flows. This has led to diversity in practice and, in certain circumstances, financial statement restatements. Therefore, the FASB issued the ASU with the intent of reducing diversity in practice with respect to several types of cash flows. The amendments in this Update are effective using a retrospective transition approach for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Early adoption is permitted, including adoption in an interim period. If an entity early adopts the amendments in an interim period, any adjustments should be reflected as of the beginning of the fiscal year that includes that interim period. This Update is not expected to have a significant impact on Huntington's Consolidated Financial Statements. ASU 2016-17 - Consolidation - Interests Held Through Related Parties that are Under Common Control. The Update amends the guidance included in ASU 2015-02, Consolidation: Amendments to Consolidation Analysis adopted by Huntington earlier this year. The Update makes a narrow amendment and requires that a single decision maker should consider indirect economic interests in the entity held through related parties that are under common control on a proportionate basis when determining whether it is the primary beneficiary of that VIE. Prior to this amendment, indirect interests held through related parties that are under common control were to be considered equivalent of single decision maker’s direct interests in their entirety. The amendments in this Update are effective for public business entities for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years. Early adoption is permitted. The adoption of the Update is not expected to have a significant impact on Huntington’s Consolidated Financial Statements. |
ACQUISITION OF FIRSTMERIT CORPO
ACQUISITION OF FIRSTMERIT CORPORATION | 12 Months Ended |
Dec. 31, 2016 | |
Business Combinations [Abstract] | |
ACQUISITION OF FIRSTMERIT CORPORATION | ACQUISITION OF FIRSTMERIT CORPORATION On August 16, 2016, Huntington completed its acquisition of FirstMerit Corporation in a stock and cash transaction valued at approximately $3.7 billion . FirstMerit Corporation was a diversified financial services company headquartered in Akron, Ohio, with operations in Ohio, Michigan, Wisconsin, Illinois and Pennsylvania. Post merger, Huntington now operates across an eight -state Midwestern footprint. The merger resulted in a combined company with a larger market presence and more diversified loan portfolio, as well as a larger core deposit funding base and economies of scale associated with a larger financial institution. Under the terms of the agreement, shareholders of FirstMerit Corporation received 1.72 shares of Huntington common stock, and $5.00 in cash, for each share of FirstMerit Corporation common stock. The aggregate purchase price was $3.7 billion , including $0.8 billion of cash, $2.8 billion of common stock, and $0.1 billion of preferred stock. Huntington issued 285 million shares of common stock that had a total fair value of $2.8 billion based on the closing market price of $9.68 per share on August 15, 2016. The acquisition of FirstMerit constituted a business combination. The FirstMerit merger has been accounted for using the acquisition method of accounting and, accordingly, assets acquired, liabilities assumed, and consideration exchanged were recorded at estimated fair value on the acquisition date. The determination of estimated fair values required management to make certain estimates about discount rates, future expected cash flows, market conditions, and other future events that are highly subjective in nature and may require adjustments, which can be updated for up to a year following the acquisition. As of December 31, 2016 , Management completed its review of information relating to events or circumstances existing at the acquisition date. The following table reflects consideration paid for FirstMerit's net assets and the amounts of acquired identifiable assets and liabilities assumed as of the acquisition date: FirstMerit (dollar amounts in thousands) UPB Fair Value Assets acquired: Cash and due from banks $ 703,661 Interest-bearing deposits in banks 32,496 Loans held for sale 150,576 Available for sale and other securities 7,369,967 Loans and leases: Commercial: Commercial and industrial $ 7,410,503 7,252,692 Commercial real estate 1,898,875 1,844,150 Total commercial 9,309,378 9,096,842 Consumer: Automobile 1,610,007 1,609,145 Home equity 1,579,832 1,537,791 Residential mortgage 1,098,588 1,092,050 RV and marine finance 1,823,312 1,816,575 Other consumer 324,350 323,512 Total consumer 6,436,089 6,379,073 Total loans and leases $ 15,745,467 15,475,915 Bank owned life insurance 633,612 Premises and equipment 228,635 Goodwill 1,320,818 Core deposit intangible 309,750 Other intangible assets 94,571 Servicing rights 15,317 Accrued income and other assets 506,578 Total assets acquired 26,841,896 Liabilities assumed: Deposits 21,157,172 Short-term borrowings 1,163,851 Long-term debt 519,971 Accrued expenses and other liabilities 292,930 Total liabilities assumed 23,133,924 Total consideration paid $ 3,707,972 Consideration: Cash paid $ 836,879 Fair value of common stock issued 2,766,773 Fair value of preferred stock exchange 104,320 Information regarding the allocation of goodwill recorded as a result of the acquisition to the Company’s reportable segments, as well as the carrying amounts and amortization of core deposit and other intangible assets, is provided in Note 8 of the Notes to Consolidated Financial Statements. The total amount of goodwill that is expected to be deductible for tax purposes is $339 million . The following is a description of the methods used to determine the fair values of significant assets and liabilities presented above. Cash and due from banks, interest-bearing deposits in banks, and loans held for sale: The carrying amount of these assets is a reasonable estimate of fair value based on the short-term nature of these assets. Securities: Fair values for securities were based on quoted market prices, where available. If quoted market prices were not available, fair value estimates were based on observable inputs including quoted market prices for similar instruments, quoted market prices that were not in an active market or other inputs that were observable in the market. In the absence of observable inputs, fair value is estimated based on pricing models and/or discounted cash flow methodologies. Loans and leases: Fair values for loans were based on a discounted cash flow methodology that considered factors including the type of loan and related collateral, classification status, fixed or variable interest rate, term of loan, amortization status and current discount rates. Loans were grouped together according to similar characteristics when applying various valuation techniques. The discount rates used for loans were based on current market rates for new originations of comparable loans and include adjustments for any liquidity concerns. The discount rate does not include a factor for credit losses as that has been included as a reduction to the estimated cash flows. CDI: This intangible asset represents the value of the relationships with deposit customers. The fair value was estimated based on a discounted cash flow methodology that gave appropriate consideration to expected customer attrition rates, net maintenance cost of the deposit base, alternative cost of funds, and the interest costs associated with customer deposits. The CDI is being amortized over 10 years based upon the period over which estimated economic benefits were estimated to be received. Deposits: The fair values used for the demand and savings deposits by definition equal the amount payable on demand at the acquisition date. The fair values for time deposits were estimated using a discounted cash flow calculation that applies interest rates currently being offered to the contractual interest rates on such time deposits. Debt: The fair values of long-term debt instruments were estimated based on quoted market prices for the instrument if available, or for similar instruments if not available, or by using discounted cash flow analyses, based on current incremental borrowing rates for similar types of instruments. The following table presents financial information regarding the former FirstMerit operations included in our Consolidated Statements of Income from the date of acquisition (August 16, 2016) through December 31, 2016 under the column “Actual from acquisition date”. The following table also presents unaudited pro forma information as if the entities were combined for the full years ended December 31, 2016 and 2015, respectively under the “Unaudited Pro Forma” columns. The pro forma information does not necessarily reflect the results of operations that would have occurred had Huntington acquired FirstMerit on January 1, 2015. Furthermore, cost savings and other business synergies related to the acquisition are not reflected in the pro forma amounts. Actual from Unaudited Pro Forma for acquisition date through Year Ended December 31, (dollar amounts in thousands) December 31, 2016 2016 2015 Net interest income $ 277,143 $ 2,788,074 $ 2,599,840 Noninterest income 96,217 1,311,490 1,301,798 Net income 82,083 809,142 842,069 This unaudited pro forma information combines the historical consolidated results of operations of Huntington and FirstMerit for the periods presented and gives effect to the following nonrecurring adjustments: Fair value adjustments : Pro forma adjustment to decrease net interest income by $12 million and $18 million for the years ended December 31, 2016 and 2015 , to record estimated amortization of premiums and accretion of discounts on acquired loans, securities, deposits, and long-term debt. FirstMerit accretion /amortization : Pro forma adjustment to decrease net interest income by $34 million and $79 million for the years ended December 31, 2016 and 2015 , to eliminate FirstMerit amortization of premiums and accretion of discounts on previously acquired loans, securities, and deposits. Amortization of acquired intangibles : Pro forma adjustment to increase noninterest expense by $28 million and $44 million for the years ended December 31, 2016 and 2015 , to record estimated amortization of acquired intangible assets. Huntington merger-related costs : Pro forma results include Huntington merger-related costs which primarily included, but were not limited to, severance costs, professional services, data processing fees, marketing and advertising expenses totaling $281 million for the year ended December 31, 2016 . Other adjustments: Pro forma results also include adjustments related to branch divestitures, incremental interest expense on the issuance on acquisition debt, elimination of FirstMerit's intangible amortization expense, FirstMerit merger-related costs, and related income-tax effects. Branch divestiture: On December 5, 2016, Huntington completed the previously announced sale of 13 acquired branches and certain related assets and deposit liabilities to First Commonwealth Bank, the banking subsidiary of First Commonwealth Financial Corporation. The sale was in connection with an agreement reached with the U.S. Department of Justice in order to resolve its competitive concerns about Huntington’s acquisition of FirstMerit. Total deposits and loans transferred to First Commonwealth Bank in the transaction totaled $620 million and $106 million , respectively |
LOANS AND LEASES AND ALLOWANCE
LOANS AND LEASES AND ALLOWANCE FOR CREDIT LOSSES | 12 Months Ended |
Dec. 31, 2016 | |
Receivables [Abstract] | |
LOANS AND LEASES AND ALLOWANCE FOR CREDIT LOSSES | LOANS / LEASES AND ALLOWANCE FOR CREDIT LOSSES Except for loans which are accounted for at fair value, loans are carried at the principal amount outstanding, net of unamortized premiums and discounts, deferred loan fees and costs and purchase accounting adjustments, which resulted in a net premium of $120 million and $262 million , at December 31, 2016 and 2015 , respectively. Loans and leases with a fair value of $15 billion were acquired by Huntington as part of the FirstMerit acquisition. The fair values of the loans were estimated using discounted cash flow analyses using interest rates currently being offered for loans with similar terms (Level 3). Of the total acquired loans and leases, Huntington has elected the fair value option for $56 million of consumer loans. These loans will subsequently be measured at fair value with any changes in fair value recognized in noninterest income in the Consolidated Statements of Income. Direct Financing Leases Huntington’s loan and lease portfolio includes lease financing receivables consisting of direct financing leases on equipment, which are included in C&I loans. Net investments in lease financing receivables by category at December 31, 2016 and 2015 were as follows: At December 31, (dollar amounts in thousands) 2016 2015 Commercial and industrial: Lease payments receivable $ 1,881,596 $ 1,551,885 Estimated residual value of leased assets 797,611 711,181 Gross investment in commercial lease financing receivables 2,679,207 2,263,066 Net deferred origination costs 12,683 7,068 Deferred fees (253,423 ) (208,669 ) Total net investment in commercial lease financing receivables $ 2,438,467 $ 2,061,465 The future lease rental payments due from customers on direct financing leases at December 31, 2016 , totaled $1.9 billion and therefore were as follows: $0.6 billion in 2017 , $0.5 billion in 2018 , $0.3 billion in 2019 , $0.2 billion in 2020 , $0.1 billion in 2021 , and $0.2 billion thereafter. Purchased Credit-Impaired Loans The following table reflects the contractually required payments receivable, cash flows expected to be collected, and fair value of the credit impaired FirstMerit loans at acquisition date: (dollar amounts in thousands) August 16, Contractually required payments including interest $ 283,947 Less: nonaccretable difference (84,315 ) Cash flows expected to be collected 199,632 Less: accretable yield (17,717 ) Fair value of loans acquired $ 181,915 The following table presents a rollforward of the accretable yield for purchased credit impaired FirstMerit loans for the year ended December 31, 2016 : and 2015 : (dollar amounts in thousands) 2016 Balance, beginning of period $ — Impact of acquisition/purchase on August 16, 2016 17,717 Accretion (5,401 ) Reclassification (to) from nonaccretable difference 24,353 Balance at December 31, $ 36,669 The following table reflects the ending and unpaid balances of the FirstMerit purchased credit-impaired loans at December 31, 2016 : 2015 December 31, 2016 (dollar amounts in thousands) Ending Unpaid Commercial and industrial $ 68,338 $ 100,031 Commercial real estate 34,042 56,320 Total $ 102,380 $ 156,351 Loan Purchases and Sales The following table summarizes significant portfolio loan purchase and sale activity for the years ended December 31, 2016 and 2015 . The table below excludes mortgage loans originated for sale. (dollar amounts in thousands) 2016 2015 Portfolio loans and leases purchased or transferred from held for sale: Commercial and industrial $ 394,579 $ 316,252 Commercial real estate — — Automobile — — Home equity — — Residential mortgage 16,045 20,463 RV and marine finance — — Other consumer — — Total $ 410,624 $ 336,715 Portfolio loans and leases sold or transferred to loans held for sale: Commercial and industrial $ 1,293,711 (1 ) $ 380,713 Commercial real estate 76,965 (2 ) — Automobile 1,544,642 764,540 (3) Home equity — 96,786 Residential mortgage — — RV and marine finance — — Other consumer — — Total $ 2,915,318 $ 1,242,039 (1) Reflects the transfer of approximately $1.0 billion of loans to loans held-for-sale in the 2016 third quarter, net of approximately $341 million of loans transferred back to loans held for investment in the 2016 fourth quarter. (2) Reflects the transfer of approximately $124 million of loans to loans held-for-sale in the 2016 third quarter, net of approximately $47 million of loans transferred back to loans held for investment in the 2016 fourth quarter. (3) Reflects the transfer of approximately $1.0 billion of loans to loans held-for-sale during the 2015 first quarter, net of approximately $262 million of loans transferred to loans and leases in the 2015 second quarter. NALs and Past Due Loans The following table presents NALs by loan class at December 31, 2016 and 2015 : December 31, (dollar amounts in thousands) 2016 2015 Commercial and industrial $ 234,184 $ 175,195 Commercial real estate 20,508 28,984 Automobile 5,766 6,564 Home equity 71,798 66,278 Residential mortgage 90,502 94,560 RV and marine finance 245 — Other consumer — — Total nonaccrual loans $ 423,003 $ 371,581 The amount of interest that would have been recorded under the original terms for total NAL loans was $24 million , $20 million , and $21 million for 2016 , 2015 , and 2014 , respectively. The total amount of interest recorded to interest income for these loans was $17 million , $10 million , and $8 million in 2016 , 2015 , and 2014 , respectively. The following table presents an aging analysis of loans and leases, including past due loans and leases, by loan class at December 31, 2016 and 2015 (1): December 31, 2016 Past Due Loans Accounted for Under the Fair Value Option Total Loans 90 or (dollar amounts in thousands) 30-59 60-89 90 or Total Current Purchased Credit Impaired Commercial and industrial $ 42,052 $ 20,136 $ 74,174 $ 136,362 $ 27,854,012 $ 68,338 $ — $ 28,058,712 $ 18,148 (2) Commercial real estate 21,187 3,202 29,659 54,048 7,212,811 34,042 — 7,300,901 17,215 Automobile loans and leases 76,283 17,188 10,442 103,913 10,862,715 — 2,154 10,968,782 10,182 Home equity 38,899 23,903 53,002 115,804 9,986,697 — 3,273 10,105,774 11,508 Residential mortgage 122,469 37,460 116,682 276,611 7,373,414 — 74,936 7,724,961 66,952 RV and marine finance 10,009 2,230 1,566 13,805 1,831,123 — 1,519 1,846,447 1,462 Other consumer 9,442 4,324 3,894 17,660 938,322 — 437 956,419 3,895 Total loans and leases $ 320,341 $ 108,443 $ 289,419 $ 718,203 $ 66,059,094 $ 102,380 $ 82,319 $ 66,961,996 $ 129,362 December 31, 2015 Past Due Total Loans 90 or (dollar amounts in thousands) 30-59 60-89 90 or Total Current Commercial and industrial $ 44,715 $ 13,580 $ 46,978 $ 105,273 $ 20,454,561 $ 20,559,834 $ 8,724 (2) Commercial real estate 9,232 5,721 21,666 36,619 5,232,032 5,268,651 9,549 Automobile loans and leases 69,553 14,965 7,346 91,864 9,388,814 9,480,678 7,162 Home equity 36,477 16,905 56,300 109,682 8,360,800 8,470,482 9,044 Residential mortgage 102,773 34,298 119,354 256,425 5,741,975 5,998,400 69,917 RV and marine finance — — — — — — — Other consumer 6,469 1,852 1,395 9,716 553,338 563,054 1,394 Total loans and leases $ 269,219 $ 87,321 $ 253,039 $ 609,579 $ 49,731,520 $ 50,341,099 $ 105,790 (1) NALs are included in this aging analysis based on the loan’s past due status. (2) Amounts include Huntington Technology Finance administrative lease delinquencies. Allowance for Credit Losses The ACL is increased through a provision for credit losses that is charged to earnings, based on the Company’s quarterly evaluation of the factors disclosed in Note 1. Significant Accounting Policies and is reduced by charge-offs, net of recoveries, and the ACL associated with loans sold or transferred to held-for-sale. The following table presents ALLL and AULC activity by portfolio segment for the years ended December 31, 2016 , 2015 , and 2014 : (dollar amounts in thousands) Commercial Consumer Total Year ended December 31, 2016: ALLL balance, beginning of period $ 398,753 $ 199,090 $ 597,843 Loan charge-offs (91,914 ) (135,400 ) (227,314 ) Recoveries of loans previously charged-off 73,138 45,280 118,418 Provision (reduction in allowance) for loan and lease losses 84,381 85,026 169,407 Allowance for loans sold or transferred to loans held for sale (13,267 ) (6,674 ) (19,941 ) ALLL balance, end of period $ 451,091 $ 187,322 $ 638,413 AULC balance, beginning of period $ 63,448 $ 8,633 $ 72,081 Provision (reduction in allowance) for unfunded loan commitments and letters of credit 18,692 2,703 21,395 AULC recorded at acquisition 4,403 — 4,403 AULC balance, end of period $ 86,543 $ 11,336 $ 97,879 ACL balance, end of period $ 537,634 $ 198,658 $ 736,292 Year ended December 31, 2015: ALLL balance, beginning of period $ 389,834 $ 215,362 $ 605,196 Loan charge-offs (97,800 ) (120,081 ) (217,881 ) Recoveries of loans previously charged-off 86,419 43,669 130,088 Provision (reduction in allowance) for loan and lease losses 20,300 68,379 88,679 Allowance for loans sold or transferred to loans held for sale — (8,239 ) (8,239 ) ALLL balance, end of period $ 398,753 $ 199,090 $ 597,843 AULC balance, beginning of period $ 55,029 $ 5,777 $ 60,806 Provision (reduction in allowance) for unfunded loan commitments and letters of credit 8,419 2,856 11,275 AULC recorded at acquisition — — — AULC balance, end of period $ 63,448 $ 8,633 $ 72,081 ACL balance, end of period $ 462,201 $ 207,723 $ 669,924 Year ended December 31, 2014: ALLL balance, beginning of period $ 428,358 $ 219,512 $ 647,870 Loan charge-offs (101,358 ) (145,243 ) (246,601 ) Recoveries of loans previously charged-off 78,602 43,372 121,974 Provision (reduction in allowance) for loan and lease losses (15,768 ) 98,850 83,082 Allowance for loans sold or transferred to loans held for sale — (1,129 ) (1,129 ) ALLL balance, end of period $ 389,834 $ 215,362 $ 605,196 AULC balance, beginning of period $ 59,487 $ 3,412 $ 62,899 Provision (reduction in allowance) for unfunded loan commitments and letters of credit (4,458 ) 2,365 (2,093 ) AULC recorded at acquisition — — — AULC balance, end of period $ 55,029 $ 5,777 $ 60,806 ACL balance, end of period $ 444,863 $ 221,139 $ 666,002 Credit Quality Indicators To facilitate the monitoring of credit quality for C&I and CRE loans, and for purposes of determining an appropriate ACL level for these loans, Huntington utilizes the following internally defined categories of credit grades: Pass - Higher quality loans that do not fit any of the other categories described below. OLEM - The credit risk may be relatively minor yet represent a risk given certain specific circumstances. If the potential weaknesses are not monitored or mitigated, the loan may weaken or the collateral may be inadequate to protect Huntington’s position in the future. For these reasons, Huntington considers the loans to be potential problem loans. Substandard - Inadequately protected loans by the borrower’s ability to repay, equity, and/or the collateral pledged to secure the loan. These loans have identified weaknesses that could hinder normal repayment or collection of the debt. It is likely Huntington will sustain some loss if any identified weaknesses are not mitigated. Doubtful - Loans that have all of the weaknesses inherent in those loans classified as Substandard, with the added elements of the full collection of the loan is improbable and that the possibility of loss is high. The categories above, which are derived from standard regulatory rating definitions, are assigned upon initial approval of the loan or lease and subsequently updated as appropriate. Commercial loans categorized as OLEM, Substandard, or Doubtful are considered Criticized loans. Commercial loans categorized as Substandard or Doubtful are both considered Classified loans. For all classes within consumer loan portfolios, each loan is assigned a specific PD factor that is partially based on the borrower’s most recent credit bureau score, which we update quarterly. A credit bureau score is a credit score developed by Fair Isaac Corporation based on data provided by the credit bureaus. The credit bureau score is widely accepted as the standard measure of consumer credit risk used by lenders, regulators, rating agencies, and consumers. The higher the credit bureau score, the higher likelihood of repayment and therefore, an indicator of higher credit quality. Huntington assesses the risk in the loan portfolio by utilizing numerous risk characteristics. The classifications described above, and also presented in the table below, represent one of those characteristics that are closely monitored in the overall credit risk management processes. The following table presents each loan and lease class by credit quality indicator at December 31, 2016 and 2015 : December 31, 2016 Credit Risk Profile by UCS Classification (dollar amounts in thousands) Pass OLEM Substandard Doubtful Total Commercial and industrial $ 26,211,885 $ 810,287 $ 1,028,819 $ 7,721 $ 28,058,712 Commercial real estate 7,042,304 96,975 159,098 2,524 7,300,901 Credit Risk Profile by FICO Score (1), (2) 750+ 650-749 <650 Other (3) Total Automobile 5,369,085 4,043,611 1,298,460 255,472 10,966,628 Home equity 6,280,328 2,891,330 637,560 293,283 10,102,501 Residential mortgage 4,662,777 2,285,121 615,067 87,060 7,650,025 RV and marine finance 1,064,143 644,039 72,995 63,751 1,844,928 Other consumer 346,867 455,959 133,243 19,913 955,982 December 31, 2015 Credit Risk Profile by UCS Classification (dollar amounts in thousands) Pass OLEM Substandard Doubtful Total Commercial and industrial $ 19,257,789 $ 399,339 $ 895,577 $ 7,129 $ 20,559,834 Commercial real estate 5,066,054 79,787 121,167 1,643 5,268,651 Credit Risk Profile by FICO Score (1), (2) 750+ 650-749 <650 Other (3) Total Automobile 4,680,684 3,454,585 1,086,914 258,495 9,480,678 Home equity 5,210,741 2,466,425 582,326 210,990 8,470,482 Residential mortgage 3,564,064 1,813,779 567,984 52,573 5,998,400 RV and marine finance — — — — — Other consumer 233,969 269,746 49,650 9,689 563,054 (1) Excludes loans accounted for under the fair value option. (2) Reflects most recent customer credit scores. (3) Reflects deferred fees and costs, loans in process, loans to legal entities, etc. Impaired Loans For all classes within the C&I and CRE portfolios, all loans with an obligor balance of $1 million or greater are evaluated on a quarterly basis for impairment. Generally, consumer loans within any class are not individually evaluated on a regular basis for impairment. All TDRs, regardless of the outstanding balance amount, are also considered to be impaired. Loans acquired with evidence of deterioration of credit quality since origination for which it is probable at acquisition that all contractually required payments will not be collected are also considered to be impaired. Once a loan has been identified for an assessment of impairment, the loan is considered impaired when, based on current information and events, it is probable that all amounts due according to the contractual terms of the loan agreement will not be collected. This determination requires significant judgment and use of estimates, and the eventual outcome may differ significantly from those estimates. The following tables present the balance of the ALLL attributable to loans by portfolio segment individually and collectively evaluated for impairment and the related loan and lease balance for the years ended December 31, 2016 and 2015 : (dollar amounts in thousands) Commercial Consumer Total ALLL at December 31, 2016: Portion of ALLL balance: Attributable to loans individually evaluated for impairment $ 10,525 $ 11,021 $ 21,546 Attributable to loans collectively evaluated for impairment 440,566 176,301 616,867 Total ALLL balance $ 451,091 $ 187,322 $ 638,413 Loan and Lease Ending Balances at December 31, 2016: (1) Portion of loan and lease ending balance: Attributable to purchased credit-impaired loans $ 102,380 $ — $ 102,380 Individually evaluated for impairment 415,624 457,890 873,514 Collectively evaluated for impairment 34,841,609 31,062,174 65,903,783 Total loans and leases evaluated for impairment $ 35,359,613 $ 31,520,064 $ 66,879,677 (1) Excludes loans accounted for under the fair value option. (dollar amounts in thousands) Commercial Consumer Total ALLL at December 31, 2015: Portion of ALLL balance: Attributable to purchased credit-impaired loans $ 2,602 $ 127 $ 2,729 Attributable to loans individually evaluated for impairment 27,428 35,008 62,436 Attributable to loans collectively evaluated for impairment 368,723 163,955 532,678 Total ALLL balance: $ 398,753 $ 199,090 $ 597,843 Loan and Lease Ending Balances at December 31, 2015: (1) Portion of loan and lease ending balances: Attributable to purchased credit-impaired loans $ 34,775 $ 1,506 $ 36,281 Individually evaluated for impairment 626,010 651,778 1,277,788 Collectively evaluated for impairment 25,167,700 23,859,330 49,027,030 Total loans and leases evaluated for impairment $ 25,828,485 $ 24,512,614 $ 50,341,099 (1) Excludes loans accounted for under the fair value option. The following tables present by class the ending, unpaid principal balance, and the related ALLL, along with the average balance and interest income recognized only for impaired loans and leases and purchased credit-impaired loans for the years ended December 31, 2016 and 2015 (1): Year Ended December 31, 2016 December 31, 2016 (dollar amounts in thousands) Ending Balance Unpaid Principal Balance (4) Related Allowance Average Balance Interest Income Recognized With no related allowance recorded: Commercial and industrial $ 299,606 $ 358,712 $ — $ 292,567 $ 9,401 Commercial real estate 88,817 126,152 — 73,040 4,191 Automobile — — — — — Home equity — — — — — Residential mortgage — — — — — RV and marine finance — — — — — Other consumer — — — — — With an allowance recorded: Commercial and industrial (2) 406,243 448,121 22,259 301,598 8,124 Commercial real estate (3) 97,238 107,512 3,434 68,865 2,978 Automobile 30,961 31,298 1,850 31,722 2,162 Home equity 319,404 352,722 15,032 277,692 13,410 Residential mortgage (5) 327,753 363,099 12,849 348,158 11,945 RV and marine finance — — — — — Other consumer 3,897 3,897 260 4,481 233 Total Commercial and industrial 705,849 806,833 22,259 594,165 17,525 Commercial real estate 186,055 233,664 3,434 141,905 7,169 Automobile 30,961 31,298 1,850 31,722 2,162 Home equity 319,404 352,722 15,032 277,692 13,410 Residential mortgage 327,753 363,099 12,849 348,158 11,945 RV and marine finance — — — — — Other consumer 3,897 3,897 260 4,481 233 Year Ended December 31, 2015 December 31, 2015 (dollar amounts in thousands) Ending Balance Unpaid Principal Balance (4) Related Allowance Average Balance Interest Income Recognized With no related allowance recorded: Commercial and industrial $ 255,801 $ 279,551 $ — $ 114,389 $ 2,584 Commercial real estate 68,260 125,814 — 88,173 7,199 Automobile — — — — — Home equity — — — — — Residential mortgage — — — — — RV and marine finance — — — — — Other consumer 52 101 — 51 17 With an allowance recorded: Commercial and industrial (2) 246,249 274,203 21,916 267,662 15,110 Commercial real estate (3) 90,475 104,930 8,114 114,019 4,833 Automobile 31,304 31,878 1,779 30,163 2,224 Home equity 248,839 284,957 16,242 292,014 13,092 Residential mortgage (5) 368,449 411,114 16,938 373,573 12,889 RV and marine finance — — — — — Other consumer 4,640 4,649 176 4,675 254 Total Commercial and industrial 502,050 553,754 21,916 382,051 17,694 Commercial real estate 158,735 230,744 8,114 202,192 12,032 Automobile 31,304 31,878 1,779 30,163 2,224 Home equity 248,839 284,957 16,242 292,014 13,092 Residential mortgage 368,449 411,114 16,938 373,573 12,889 RV and marine finance — — — — — Other consumer 4,692 4,750 176 4,726 271 (1) All automobile, home equity, residential mortgage, and other consumer impaired loans included in these tables are considered impaired due to their status as a TDR. (2) At December 31, 2016 , $293 million of the $406 million C&I loans with an allowance recorded were considered impaired due to their status as a TDR. At December 31, 2015 , $91 million of the $246 million C&I loans with an allowance recorded were considered impaired due to their status as a TDR. (3) At December 31, 2016 , $81 million of the $97 million CRE loans with an allowance recorded were considered impaired due to their status as a TDR. At December 31, 2015 , $35 million of the $90 million CRE loans with an allowance recorded were considered impaired due to their status as a TDR. (4) The differences between the ending balance and unpaid principal balance amounts represent partial charge-offs. (5) At December 31, 2016 , $29 million of the $328 million residential mortgage loans with an allowance recorded were guaranteed by the U.S. government. At December 31, 2015 , $29 million of the $368 million residential mortgage loans with an allowance recorded were guaranteed by the U.S. government. TDR Loans The amount of interest that would have been recorded under the original terms for total accruing TDR loans was $49 million , $46 million , and $45 million for 2016 , 2015 , and 2014 , respectively. The total amount of actual interest recorded to interest income for these loans was $40 million , $41 million , and $39 million for 2016 , 2015 , and 2014 , respectively. TDR Concession Types The Company’s standards relating to loan modifications consider, among other factors, minimum verified income requirements, cash flow analyses, and collateral valuations. Each potential loan modification is reviewed individually and the terms of the loan are modified to meet a borrower’s specific circumstances at a point in time. All commercial TDRs are reviewed and approved by our SAD. The types of concessions provided to borrowers include: • Interest rate reduction: A reduction of the stated interest rate to a nonmarket rate for the remaining original life of the debt. • Amortization or maturity date change beyond what the collateral supports, including any of the following: • Lengthens the amortization period of the amortized principal beyond market terms. This concession reduces the minimum monthly payment and could increase the amount of the balloon payment at the end of the term of the loan. Principal is generally not forgiven. • Reduces the amount of loan principal to be amortized and increases the amount of the balloon payment at the end of the term of the loan. This concession also reduces the minimum monthly payment. Principal is generally not forgiven. • Extends the maturity date or dates of the debt beyond what the collateral supports. This concession generally applies to loans without a balloon payment at the end of the term of the loan. • Chapter 7 bankruptcy: A bankruptcy court’s discharge of a borrower’s debt is considered a concession when the borrower does not reaffirm the discharged debt. • Other: A concession that is not categorized as one of the concessions described above. These concessions include, but are not limited to: principal forgiveness, collateral concessions, covenant concessions, and reduction of accrued interest. Principal forgiveness may result from any TDR modification of any concession type. However, the aggregate amount of principal forgiven as a result of loans modified as TDRs during the years ended December 31, 2016 and 2015 , was not significant. Following is a description of TDRs by the different loan types: Commercial loan TDRs – Commercial accruing TDRs often result from loans receiving a concession with terms that are not considered a market transaction to Huntington. The TDR remains in accruing status as long as the customer is less than 90 -days past due on payments per the restructured loan terms and no loss is expected. Commercial nonaccrual TDRs result from either: (1) an accruing commercial TDR being placed on nonaccrual status, or (2) a workout where an existing commercial NAL is restructured and a concession is given. At times, these workouts restructure the NAL so that two or more new notes are created. The primary note is underwritten based upon our normal underwriting standards and is sized so projected cash flows are sufficient to repay contractual principal and interest. The terms on the secondary note(s) vary by situation, and may include notes that defer principal and interest payments until after the primary note is repaid. Creating two or more notes often allows the borrower to continue a project and allows Huntington to right-size a loan based upon the current expectations for a borrower’s or project’s performance. Our strategy involving TDR borrowers includes working with these borrowers to allow them to refinance elsewhere, as well as allow them time to improve their financial position and remain a Huntington customer through refinancing their notes according to market terms and conditions in the future. A subsequent refinancing or modification of a loan may occur when either the loan matures according to the terms of the TDR-modified agreement or the borrower requests a change to the loan agreements. At that time, the loan is evaluated to determine if the borrower is creditworthy. It is subjected to the normal underwriting standards and processes for other similar credit extensions, both new and existing. The refinanced note is evaluated to determine if it is considered a new loan or a continuation of the prior loan. A new loan is considered for removal of the TDR designation, whereas a continuation of the prior note requires a continuation of the TDR designation. In order for a TDR designation to be removed, the borrower must no longer be experiencing financial difficulties and the terms of the refinanced loan must not represent a concession. Consumer loan TDRs – Residential mortgage TDRs represent loan modifications associated with traditional first-lien mortgage loans in which a concession has been provided to the borrower. The primary concessions given to residential mortgage borrowers are amortization or maturity date changes and interest rate reductions. Residential mortgages identified as TDRs involve borrowers unable to refinance their mortgages through the Company’s normal mortgage origination channels or through other independent sources. Some, but not all, of the loans may be delinquent. The Company may make similar interest rate, term, and principal concessions for Automobile, Home Equity, RV and Marine Finance and Other Consumer loan TDRs. TDR Impact on Credit Quality Huntington’s ALLL is largely determined by updated risk ratings assigned to commercial loans, updated borrower credit scores on consumer loans, and borrower delinquency history in both the commercial and consumer portfolios. These updated risk ratings and credit scores consider the default history of the borrower, including payment redefaults. As such, the provision for credit losses is impacted primarily by changes in borrower payment performance rather than the TDR classification. TDRs can be classified as either accrual or nonaccrual loans. Nonaccrual TDRs are included in NALs whereas accruing TDRs are excluded from NALs as it is probable that all contractual principal and interest due under the restructured terms will be collected. The Company's TDRs may include multiple concessions and the disclosure classifications are presented based on the primary concession provided to the borrower. The majority of the concessions for the C&I and CRE portfolios are the extension of the maturity date, but could also include an increase in the interest rate. In these instances, the primary concession is the maturity date extension. TDR concessions may also result in the reduction of the ALLL within the C&I and CRE portfolios. This reduction is derived from payments and the resulting application of the reserve calculation within the ALLL. The transaction reserve for non-TDR C&I and CRE loans is calculated based upon several estimated probability factors, such as PD and LGD. Upon the occurrence of a TDR in our C&I and CRE portfolios, the reserve is measured based on discounted expected cash flows or collateral value, less anticipated selling costs, of the modified loan in accordance with ASC 310-10. The resulting TDR ALLL calculation often results in a lower ALLL amount because (1) the discounted expected cash flows or collateral value, less anticipated selling costs, indicate a lower estimated loss, (2) if the modification includes a rate increase, the discounting of the cash flows on the modified loan, using the pre-modification interest rate, exceeds the carrying value of the loan, or (3) payments may occur as part of the modification. The ALLL for C&I and CRE loans may increase as a result of the modification, as the discounted cash flow analysis may indicate additional reserves are required. TDR concessions on consumer loans may increase the ALLL. The concessions made to these borrowers often include interest rate reductions, and therefore, the TDR ALLL calculation results in a greater ALLL compared with the non-TDR calculation as the reserve is measured based on the estimation of the discounted expected cash flows or collateral value, less anticipated selling costs, on the modified loan in accordance with ASC 310-10. The resulting TDR ALLL calculation often results in a higher ALLL amount because (1) the discounted expected cash flows or collateral value, less anticipated selling costs, indicate a higher estimated loss or, (2) due to the rate decrease, the discounting of the cash flows on the modified loan, using the pre-modification interest rate, indicates a reduction in the present value of expected cash flows or collateral value, less anticipated selling costs. However, in certain instances, the ALLL may decrease as a result of payments made in connection with the modification. Commercial loan TDRs – In instances where the bank substantiates that it will collect its outstanding balance in full, the note is considered for return to accrual status upon the borrower showing a sustained period of repayment performance for a six -month period of time. This six -month period could extend before or after the restructure date. If a charge-off was taken as part of the restructuring, any interest or principal payments received on that note are applied to first reduce the bank’s outstanding book balance and then to recoveries of charged-off principal, unpaid interest, and/or fee expenses while the TDR is in nonaccrual status. Consumer loan TDRs – Modified consumer loans identified as TDRs are aggregated into pools for analysis. Cash flows and weighted average interest rates are used to calculate impairment at the pooled-loan level. Once the loans are aggregated into the pool, they continue to be classified as TDRs until contractually repaid or charged-off. Residential mortgage loans not guaranteed by a U.S. government agency such as the FHA, VA, and the USDA, including TDR loans, are reported as accrual or nonaccrual based upon delinquency status. Nonaccrual TDRs are those that are greater than 150 -days contractually past due. Loans guaranteed by U.S. government organizations continue to accrue interest on guaranteed rates upon delinquency. The following table presents by class and by the reason for the modification the number of contracts, post-modification outstanding balance, and the financial effects of the modification for the years ended December 31, 2016 and 2015 : New Troubled Debt Restructurings During The Year Ended (1) December 31, 2016 December 31, 2015 (dollar amounts in thousands) Number of Contracts Post-modification Outstanding Balance (2) Financial effects of modification (3) Number of Contracts Post-modification Outstanding Balance (2) Financial effects of modification (3) Commercial and industrial: Interest rate reduction 4 161 5 13 8,243 (1,042 ) Amortization or maturity date change 872 490,488 (8,751 ) 765 524,356 (5,853 ) Other 20 1,951 (13.996 ) 16 29,842 (449 ) Total Commercial and industrial 896 492,600 (8,760 ) 794 562,441 (7,344 ) Commercial real estate: Interest rate reduction 2 223 — 4 2,249 (4 ) Amortization or maturity date change 111 69,192 (1,868 ) 143 141,238 (1,249 ) Other 4 315 16 11 480 (30 ) Total commercial real estate: 117 69,730 (1,852 ) 158 143,967 (1,283 ) Automobile: Interest rate reduction 17 212 12 41 121 5 Amortization or maturity date change 1,593 14,542 1,065 1,591 12,268 533 Chapter 7 bankruptcy 1,059 8,418 400 926 7,390 423 Other — — — — — — Total Automobile 2,669 23,172 1,477 2,558 19,779 961 Home equity: Interest rate reduction 55 2,928 110 55 4,399 161 Amortization or maturity date change 578 32,006 (3,709 ) 1,591 79,023 (10,639 ) Cha |
AVAILABLE-FOR-SALE AND OTHER SE
AVAILABLE-FOR-SALE AND OTHER SECURITIES | 12 Months Ended |
Dec. 31, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
AVAILABLE-FOR-SALE AND OTHER SECURITIES | AVAILABLE-FOR-SALE AND OTHER SECURITIES Contractual maturities of available-for-sale and other securities as of December 31, 2016 and 2015 were: 2016 2015 (dollar amounts in thousands) Amortized Cost Fair Value Amortized Cost Fair Value Under 1 year $ 223,789 $ 221,495 $ 333,891 $ 332,980 After 1 year through 5 years 1,147,510 1,149,460 1,184,454 1,189,455 After 5 years through 10 years 1,956,893 1,962,345 1,648,808 1,645,759 After 10 years 11,884,812 11,665,245 5,259,855 5,263,063 Other securities: Nonmarketable equity securities 547,704 547,704 332,786 332,786 Mutual funds 15,286 15,286 10,604 10,604 Marketable equity securities 861 1,302 525 794 Total available-for-sale and other securities $ 15,776,855 $ 15,562,837 $ 8,770,923 $ 8,775,441 Other securities at December 31, 2016 and 2015 include nonmarketable equity securities of $249 million and $157 million of stock issued by the FHLB and $299 million and $176 million of Federal Reserve Bank stock, respectively. Nonmarketable equity securities are recorded at amortized cost. Other securities also include mutual funds and marketable equity securities. The following tables provide amortized cost, fair value, and gross unrealized gains and losses recognized in OCI by investment category at December 31, 2016 and 2015 : Unrealized (dollar amounts in thousands) Amortized Cost Gross Gains Gross Losses Fair Value December 31, 2016 U.S. Treasury $ 5,480 $ 17 $ — $ 5,497 Federal agencies: Mortgage-backed securities 10,851,461 12,548 (190,667 ) 10,673,342 Other agencies 73,012 536 (6 ) 73,542 Total U.S. Treasury, Federal agency securities 10,929,953 13,101 (190,673 ) 10,752,381 Municipal securities 3,260,428 28,431 (38,802 ) 3,250,057 Asset-backed securities 824,124 1,492 (32,135 ) 793,481 Corporate debt 194,537 4,161 (15 ) 198,683 Other securities 567,813 441 (19 ) 568,235 Total available-for-sale and other securities $ 15,776,855 $ 47,626 $ (261,644 ) $ 15,562,837 Unrealized (dollar amounts in thousands) Amortized Gross Gross Fair Value December 31, 2015 U.S. Treasury $ 5,457 $ 15 $ — $ 5,472 Federal agencies: Mortgage-backed securities 4,505,318 30,078 (13,708 ) 4,521,688 Other agencies 115,076 888 (51 ) 115,913 Total U.S. Treasury, Federal agency securities 4,625,851 30,981 (13,759 ) 4,643,073 Municipal securities 2,431,943 51,558 (27,105 ) 2,456,396 Asset-backed securities 901,059 535 (40,181 ) 861,413 Corporate debt 464,207 4,824 (2,554 ) 466,477 Other securities 347,863 271 (52 ) 348,082 Total available-for-sale and other securities $ 8,770,923 $ 88,169 $ (83,651 ) $ 8,775,441 The following tables provide detail on investment securities with unrealized losses aggregated by investment category and the length of time the individual securities have been in a continuous loss position at December 31, 2016 and 2015 : Less than 12 Months Over 12 Months Total (dollar amounts in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses December 31, 2016 Federal agencies: Mortgage-backed securities $ 8,908,470 $ (189,318 ) $ 41,706 $ (1,349 ) $ 8,950,176 $ (190,667 ) Other agencies 924 (6 ) — — 924 (6 ) Total Federal agency securities 8,909,394 (189,324 ) 41,706 (1,349 ) 8,951,100 (190,673 ) Municipal securities 1,412,152 (29,175 ) 272,292 (9,627 ) 1,684,444 (38,802 ) Asset-backed securities 361,185 (3,043 ) 178,924 (29,092 ) 540,109 (32,135 ) Corporate debt 3,567 (15 ) 200 — 3,767 (15 ) Other securities 790 (11 ) 1,492 (8 ) 2,282 (19 ) Total temporarily impaired securities $ 10,687,088 $ (221,568 ) $ 494,614 $ (40,076 ) $ 11,181,702 $ (261,644 ) Less than 12 Months Over 12 Months Total (dollar amounts in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses December 31, 2015 Federal agencies: Mortgage-backed securities $ 1,658,516 $ (11,341 ) $ 84,147 $ (2,367 ) $ 1,742,663 $ (13,708 ) Other agencies 37,982 (51 ) — — 37,982 (51 ) Total Federal agency securities 1,696,498 (11,392 ) 84,147 (2,367 ) 1,780,645 (13,759 ) Municipal securities 570,916 (15,992 ) 248,204 (11,113 ) 819,120 (27,105 ) Asset-backed securities 552,275 (5,791 ) 207,639 (34,390 ) 759,914 (40,181 ) Corporate debt 167,144 (1,673 ) 21,965 (881 ) 189,109 (2,554 ) Other securities 772 (28 ) 1,476 (24 ) 2,248 (52 ) Total temporarily impaired securities $ 2,987,605 $ (34,876 ) $ 563,431 $ (48,775 ) $ 3,551,036 $ (83,651 ) At December 31, 2016 , the carrying value of investment securities pledged to secure public and trust deposits, trading account liabilities, U.S. Treasury demand notes, and security repurchase agreements totaled $5.0 billion . There were no securities of a single issuer, which are not governmental or government-sponsored, that exceeded 10% of shareholders’ equity at December 31, 2016 . The following table is a summary of realized securities gains and losses for the years ended December 31, 2016 , 2015 , and 2014 : Year ended December 31, (dollar amounts in thousands) 2016 2015 2014 Gross gains on sales of securities $ 23,095 $ 6,730 $ 17,729 Gross (losses) on sales of securities (21,060 ) (3,546 ) (175 ) Net gain (loss) on sales of securities $ 2,035 $ 3,184 $ 17,554 Security Impairment Huntington evaluates the available-for-sale securities portfolio on a quarterly basis for impairment. The Company conducts a comprehensive security-level assessment on all available-for-sale securities. Huntington does not intend to sell, nor does it believe it will be required to sell these securities until the amortized cost is recovered, which may be maturity. Impairment would exist when the present value of the expected cash flows are not sufficient to recover the entire amortized cost basis at the balance sheet date. Under these circumstances, any credit impairment would be recognized in earnings. The contractual terms and/or cash flows of the investments do not permit the issuer to settle the securities at a price less than the amortized cost. OTTI totaling $2 million was recorded on two direct purchase municipal instruments during 2016. Direct purchase municipal instruments are underwritten and managed by Huntington. At December 31, 2016, $2.8 billion of direct purchase municipal instruments were managed by Huntington. The highest risk segment in our investment portfolio is the trust preferred CDO securities which are in the asset-backed securities portfolio. This portfolio is in run off, and the Company has not purchased these types of securities since 2005. The fair values of the CDO assets have been impacted by various market conditions. The unrealized losses are primarily the result of wider liquidity spreads on asset-backed securities and the longer expected average lives of the trust-preferred CDO securities, due to changes in the expectations of when the underlying securities will be repaid. Collateralized Debt Obligations are backed by a pool of debt securities issued by financial institutions. The collateral generally consists of trust-preferred securities and subordinated debt securities issued by banks, bank holding companies, and insurance companies. Many collateral issuers have the option of deferring interest payments on their debt for up to five years. A full cash flow analysis is used to estimate fair values and assess impairment for each security within this portfolio. A third-party pricing specialist with direct industry experience in pooled-trust-preferred security evaluations is engaged to provide assistance estimating the fair value and expected cash flows on this portfolio. The full cash flow analysis is completed by evaluating the relevant credit and structural aspects of each pooled-trust-preferred security in the portfolio, including collateral performance projections for each piece of collateral in the security and terms of the security’s structure. The credit review includes an analysis of profitability, credit quality, operating efficiency, leverage, and liquidity using available financial and regulatory information for each underlying collateral issuer. The analysis also includes a review of historical industry default data, current / near term operating conditions, and the impact of macroeconomic and regulatory changes. Using the results of the analysis, the Company estimates appropriate default and recovery probabilities for each piece of collateral then estimates the expected cash flows for each security. The fair value of each security is obtained by discounting the expected cash flows at a market discount rate. The market discount rate is determined by reference to yields observed in the market for similarly rated collateralized debt obligations, specifically high-yield collateralized loan obligations. The relatively high market discount rate is reflective of the uncertainty of the cash flows and illiquid nature of these securities. The large differential between the fair value and amortized cost of some of the securities reflects the high market discount rate and the expectation that the majority of the cash flows will not be received until near the final maturity of the security (the final maturities range from 2032 to 2035). The following table summarizes the relevant characteristics of the Company's CDO securities portfolio, which are included in asset-backed securities, at December 31, 2016 and 2015 . Each security is part of a pool of issuers and supports a more senior tranche of securities except for the MM Comm III securities which are the most senior class. Collateralized Debt Obligation Securities (dollar amounts in thousands) Deal Name Par Value Amortized Cost Fair Value Unrealized Loss (2) Lowest Credit Rating (3) # of Issuers Currently Performing/ Remaining (4) Actual Deferrals and Defaults as a % of Original Collateral Expected Defaults as a % of Remaining Performing Collateral Excess Subordination (5) ICONS 18,594 18,594 15,307 (3,287 ) BB 19/21 7 13 54 MM Comm III 4,573 4,369 3,618 (751 ) BB 5/8 5 6 38 Pre TSL IX (1) 5,000 3,955 3,253 (702 ) C 27/37 16 9 8 Pre TSL XI (1) 25,000 19,576 15,767 (3,809 ) C 43/53 14 8 14 Pre TSL XIII (1) 27,530 19,106 17,146 (1,960 ) C 45/54 9 11 29 Reg Diversified (1) 25,500 4,610 1,752 (2,858 ) D 20/37 35 8 — Tropic III 31,000 31,000 19,160 (11,840 ) BB 28/37 16 7 42 Total at December 31, 2016 $ 137,197 $ 101,210 $ 76,003 $ (25,207 ) Total at December 31, 2015 $ 179,574 $ 131,991 $ 100,338 $ (31,654 ) (1) Security was determined to have OTTI. As such, the amortized cost is net of recorded credit impairment. (2) The majority of securities have been in a continuous loss position for 12 months or longer. (3) For purposes of comparability, the lowest credit rating expressed is equivalent to Fitch ratings even where the lowest rating is based on another nationally recognized credit rating agency. (4) Includes both banks and/or insurance companies. (5) Excess subordination percentage represents the additional defaults in excess of both current and projected defaults that the CDO can absorb before the bond experiences credit impairment. Excess subordinated percentage is calculated by (a) determining what percentage of defaults a deal can experience before the bond has credit impairment, and (b) subtracting from this default breakage percentage both total current and expected future default percentages. For the periods ended December 31, 2016 , 2015 , and 2014 , the following table summarizes by security type, the total OTTI losses recognized in the Consolidated Statements of Income for securities evaluated for impairment as described above: Year ended December 31, (dollar amounts in thousands) 2016 2015 2014 Available-for-sale and other securities: Collateralized Debt Obligations $ — $ (2,440 ) $ — Municipal Securities (2,119 ) — — Total available-for-sale and other securities $ (2,119 ) $ (2,440 ) $ — The following table rolls forward the OTTI recognized in earnings on debt securities held by Huntington for the years ended December 31, 2016 , and 2015 as follows: Year Ended December 31, (dollar amounts in thousands) 2016 2015 Balance, beginning of year $ 18,368 $ 30,869 Reductions from sales (8,690 ) (14,941 ) Credit losses not previously recognized 2,119 — Additional credit losses — 2,440 Balance, end of year $ 11,797 $ 18,368 To reduce asset risk weighting and credit risk in the investment portfolio, the remainder of the private-label CMO portfolio was sold in the 2015 third quarter. Huntington recognized OTTI on this portfolio in prior periods. |
HELD-TO-MATURITY SECURITIES
HELD-TO-MATURITY SECURITIES | 12 Months Ended |
Dec. 31, 2016 | |
Held-to-maturity Securities [Abstract] | |
HELD-TO-MATURITY SECURITIES | HELD-TO-MATURITY SECURITIES These are debt securities that Huntington has the intent and ability to hold until maturity. The debt securities are carried at amortized cost and adjusted for amortization of premiums and accretion of discounts using the interest method. During 2016 and 2015, Huntington transferred federal agencies, mortgage-backed securities and other agency securities totaling $2.9 billion and $3.0 billion , respectively from the available-for-sale securities portfolio to the held-to-maturity securities portfolio. At the time of the transfer, $58 million of unrealized net losses and $6 million of unrealized net gains were recognized in OCI, respectively. The amounts in OCI will be recognized in earnings over the remaining life of the securities as an offset to the adjustment of yield in a manner consistent with the amortization of the premium on the same transferred securities, resulting in an immaterial impact on net income. Listed below are the contractual maturities of held-to-maturity securities at December 31, 2016 and December 31, 2015 : December 31, 2016 December 31, 2015 (dollar amounts in thousands) Amortized Cost Fair Value Amortized Cost Fair Value Federal agencies: Mortgage-backed securities: 1 year or less $ — $ — $ — $ — After 1 year through 5 years — — — — After 5 years through 10 years 41,261 40,791 25,909 25,227 After 10 years 7,157,083 7,139,943 5,506,592 5,484,407 Total mortgage-backed securities 7,198,344 7,180,734 5,532,501 5,509,634 Other agencies: 1 year or less — — — — After 1 year through 5 years — — — — After 5 years through 10 years 398,341 399,452 283,960 284,907 After 10 years 204,083 201,180 336,092 334,004 Total other agencies 602,424 600,632 620,052 618,911 Total U.S. Government backed agencies 7,800,768 7,781,366 6,152,553 6,128,545 Municipal securities: 1 year or less — — — — After 1 year through 5 years — — — — After 5 years through 10 years — — — — After 10 years 6,171 5,902 7,037 6,913 Total municipal securities 6,171 5,902 7,037 6,913 Total held-to-maturity securities $ 7,806,939 $ 7,787,268 $ 6,159,590 $ 6,135,458 The following table provides amortized cost, gross unrealized gains and losses, and fair value by investment category at December 31, 2016 and 2015 : Unrealized (dollar amounts in thousands) Amortized Cost Gross Gains Gross Losses Fair Value December 31, 2016 Federal agencies: Mortgage-backed securities $ 7,198,344 $ 20,883 $ (38,493 ) $ 7,180,734 Other agencies 602,424 1,690 (3,482 ) 600,632 Total U.S. Government backed agencies 7,800,768 22,573 (41,975 ) 7,781,366 Municipal securities 6,171 — (269 ) 5,902 Total held-to-maturity securities $ 7,806,939 $ 22,573 $ (42,244 ) $ 7,787,268 Unrealized (dollar amounts in thousands) Amortized Gross Gross Fair Value December 31, 2015 Federal agencies: Mortgage-backed securities $ 5,532,501 $ 14,637 $ (37,504 ) $ 5,509,634 Other agencies 620,052 1,645 (2,786 ) 618,911 Total U.S. Government backed agencies 6,152,553 16,282 (40,290 ) 6,128,545 Municipal securities 7,037 — (124 ) 6,913 Total held-to-maturity securities $ 6,159,590 $ 16,282 $ (40,414 ) $ 6,135,458 The following tables provide detail on HTM securities with unrealized losses aggregated by investment category and the length of time the individual securities have been in a continuous loss position at December 31, 2016 and 2015 : Less than 12 Months Over 12 Months Total (dollar amounts in thousands) Fair Unrealized Fair Unrealized Fair Unrealized December 31, 2016 Federal agencies: Mortgage-backed securities $ 2,855,360 $ (31,470 ) $ 186,226 $ (7,023 ) $ 3,041,586 $ (38,493 ) Other agencies 413,207 (3,482 ) — — 413,207 (3,482 ) Total U.S. Government backed securities 3,268,567 (34,952 ) 186,226 (7,023 ) 3,454,793 (41,975 ) Municipal securities 5,902 (269 ) — — 5,902 (269 ) Total temporarily impaired securities $ 3,274,469 $ (35,221 ) $ 186,226 $ (7,023 ) $ 3,460,695 $ (42,244 ) Less than 12 Months Over 12 Months Total (dollar amounts in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses December 31, 2015 Federal agencies: Mortgage-backed securities $ 3,692,890 $ (25,418 ) $ 519,872 $ (12,086 ) $ 4,212,762 $ (37,504 ) Other agencies 425,410 (2,689 ) 6,647 (97 ) 432,057 (2,786 ) Total U.S. Government backed securities 4,118,300 (28,107 ) 526,519 (12,183 ) 4,644,819 (40,290 ) Municipal securities — — 6,913 (124 ) 6,913 (124 ) Total temporarily impaired securities $ 4,118,300 $ (28,107 ) $ 533,432 $ (12,307 ) $ 4,651,732 $ (40,414 ) Security Impairment Huntington evaluates the held-to-maturity securities portfolio on a quarterly basis for impairment. Impairment would exist when the present value of the expected cash flows is not sufficient to recover the entire amortized cost basis at the balance sheet date. Under these circumstances, any impairment would be recognized in earnings. As of December 31, 2016 and 2015 , The Company evaluated held-to-maturity securities with unrealized losses for impairment and concluded no OTTI is required. |
LOAN SALES AND SECURITIZATIONS
LOAN SALES AND SECURITIZATIONS | 12 Months Ended |
Dec. 31, 2016 | |
Transfers and Servicing [Abstract] | |
LOAN SALES AND SECURITIZATIONS | LOAN SALES AND SECURITIZATIONS Residential Mortgage Portfolio The following table summarizes activity relating to residential mortgage loans sold with servicing retained for the years ended December 31, 2016 , 2015 , and 2014 : Year Ended December 31, (dollar amounts in thousands) 2016 2015 2014 Residential mortgage loans sold with servicing retained $ 3,632,024 $ 3,322,723 $ 2,330,060 Pretax gains resulting from above loan sales (1) 96,585 83,148 57,590 (1) Recorded in mortgage banking income. The following tables summarize the changes in MSRs recorded using either the fair value method or the amortization method for the years ended December 31, 2016 and 2015 : Fair Value Method (dollar amounts in thousands) 2016 2015 Fair value, beginning of year $ 17,585 $ 22,786 Change in fair value during the period due to: Time decay (1) (950 ) (1,295 ) Payoffs (2) (1,827 ) (3,031 ) Changes in valuation inputs or assumptions (3) (1,061 ) (875 ) Fair value, end of year $ 13,747 $ 17,585 Weighted-average life (years) 5.7 4.6 (1) Represents decrease in value due to passage of time, including the impact from both regularly scheduled loan principal payments and partial loan paydowns. (2) Represents decrease in value associated with loans that paid off during the period. (3) Represents change in value resulting primarily from market-driven changes in interest rates and prepayment speeds. Amortization Method (dollar amounts in thousands) 2016 2015 Carrying value, beginning of year $ 143,133 $ 132,812 New servicing assets created 37,813 35,407 Servicing assets acquired 15,317 — Impairment recovery (charge) 1,918 (2,732 ) Amortization and other (25,715 ) (22,354 ) Carrying value, end of year $ 172,466 $ 143,133 Fair value, end of year $ 172,779 $ 143,435 Weighted-average life (years) 7.2 5.9 MSRs do not trade in an active, open market with readily observable prices. While sales of MSRs occur, the precise terms and conditions are typically not readily available. Therefore, the fair value of MSRs is estimated using a discounted future cash flow model. The model considers portfolio characteristics, contractually specified servicing fees and assumptions related to prepayments, delinquency rates, late charges, other ancillary revenues, costs to service, and other economic factors. Changes in the assumptions used may have a significant impact on the valuation of MSRs. MSR values are very sensitive to movements in interest rates as expected future net servicing income depends on the projected outstanding principal balances of the underlying loans, which can be greatly impacted by the level of prepayments. Huntington economically hedges the value of certain MSRs against changes in value attributable to changes in interest rates using a combination of derivative instruments and trading securities. For MSRs under the fair value method, a summary of key assumptions and the sensitivity of the MSR value to changes in these assumptions at December 31, 2016 , and 2015 follows: December 31, 2016 December 31, 2015 Decline in fair value due to Decline in fair value due to (dollar amounts in thousands) Actual 10% adverse change 20% adverse change Actual 10% adverse change 20% adverse change Constant prepayment rate (annualized) 10.90 % $ (501 ) $ (970 ) 14.70 % $ (864 ) $ (1,653 ) Spread over forward interest rate swap rates 536 bps (454 ) (879 ) 539 bps (559 ) (1,083 ) For MSRs under the amortization method, a summary of key assumptions and the sensitivity of the MSR value to changes in these assumptions at December 31, 2016 , and 2015 follows: December 31, 2016 December 31, 2015 Decline in fair value due to Decline in fair value due to (dollar amounts in thousands) Actual 10% adverse change 20% adverse change Actual 10% adverse change 20% adverse change Constant prepayment rate (annualized) 7.80 % $ (4,510 ) $ (8,763 ) 11.10 % $ (5,543 ) $ (10,648 ) Spread over forward interest rate swap rates 1,173 bps (5,259 ) (10,195 ) 875 bps (4,662 ) (9,017 ) Total servicing, late and other ancillary fees included in mortgage banking income was $50 million , $47 million , and $44 million for the years ended December 31, 2016 , 2015 , and 2014 , respectively. The unpaid principal balance of residential mortgage loans serviced for third parties was $18.9 billion , $16.2 billion , and $15.6 billion at December 31, 2016 , 2015 , and 2014 , respectively. Automobile Loans and Leases The following table summarizes activity relating to automobile loans securitized with servicing retained for the years ended December 31, 2016 , 2015 , and 2014 : Year Ended December 31, (dollar amounts in thousands) 2016 2015 2014 (1) UPB of automobile loans securitized with servicing retained $ 1,500,000 750,000 — Net proceeds received in loan securitizations 1,551,679 780,117 — Servicing asset recognized in loan securitizations (2) 15,670 11,180 — Pretax gains resulting from above loan securitizations (3) 5,632 5,333 — (1) Huntington did not sell or securitize any automobile loans in 2014. (2) Recorded in servicing rights. (3) Recorded in gain on sale of loans. Huntington has retained servicing responsibilities on sold automobile loans and receives annual servicing fees and other ancillary fees on the outstanding loan balances. Automobile loan servicing rights are accounted for using the amortization method. A servicing asset is established at fair value at the time of the sale. The servicing asset is then amortized against servicing income. Impairment, if any, is recognized when carrying value exceeds the fair value as determined by calculating the present value of expected net future cash flows. The primary risk characteristic for measuring servicing assets is payoff rates of the underlying loan pools. Valuation calculations rely on the predicted payoff assumption and, if actual payoff is quicker than expected, then future value would be impaired. Changes in the carrying value of automobile loan servicing rights for the years ended December 31, 2016 , and 2015 , and the fair value at the end of each period were as follows: (dollar amounts in thousands) 2016 2015 Carrying value, beginning of year $ 8,771 $ 6,898 New servicing assets created 15,670 11,180 Amortization and other (6,156 ) (9,307 ) Carrying value, end of year $ 18,285 $ 8,771 Fair value, end of year $ 18,388 $ 9,127 Weighted-average life (years) 4.2 3.2 A summary of key assumptions and the sensitivity of the automobile loan servicing rights value to changes in these assumptions at December 31, 2016 , and 2015 follows: December 31, 2016 December 31, 2015 Decline in fair value due to Decline in fair value due to (dollar amounts in thousands) Actual 10% adverse change 20% adverse change Actual 10% adverse change 20% adverse change Constant prepayment rate (annualized) 19.98 % $ (1,047 ) $ (2,026 ) 18.36 % $ (500 ) $ (895 ) Spread over forward interest rate swap rates 500 bps (26 ) (53 ) 500 bps (10 ) (19 ) Servicing income was $9 million , $5 million , and $8 million for the years ended December 31, 2016 , 2015 , and 2014 , respectively. The unpaid principal balance of automobile loans serviced for third parties was $1.7 billion , $0.9 billion , and $0.8 billion at December 31, 2016 , 2015 , and 2014 , respectively. Small Business Association (SBA) Portfolio The following table summarizes activity relating to SBA loans sold with servicing retained for the years ended December 31, 2016 , 2015 , and 2014 : Year Ended December 31, (dollar amounts in thousands) 2016 2015 2014 SBA loans sold with servicing retained $ 269,923 $ 232,848 $ 214,760 Pretax gains resulting from above loan sales (1) 20,516 18,626 24,579 (1) Recorded in gain on sale of loans. Huntington has retained servicing responsibilities on sold SBA loans and receives annual servicing fees on the outstanding loan balances. SBA loan servicing rights are accounted for using the amortization method. A servicing asset is established at fair value at the time of the sale using a discounted future cash flow model. The servicing asset is then amortized against servicing income. Impairment, if any, is recognized when carrying value exceeds the fair value as determined by calculating the present value of expected net future cash flows. The following tables summarize the changes in the carrying value of the servicing asset for the years ended December 31, 2016 , and 2015 : (dollar amounts in thousands) 2016 2015 Carrying value, beginning of year $ 19,747 $ 18,536 New servicing assets created 8,705 8,012 Amortization and other (7,372 ) (6,801 ) Carrying value, end of year $ 21,080 $ 19,747 Fair value, end of year $ 24,270 $ 22,649 Weighted-average life (years) 3.3 3.3 A summary of key assumptions and the sensitivity of the SBA loan servicing rights value to changes in these assumptions at December 31, 2016 , and 2015 follows: December 31, 2016 December 31, 2015 Decline in fair value due to Decline in fair value due to (dollar amounts in thousands) Actual 10% adverse change 20% adverse change Actual 10% adverse change 20% adverse change Constant prepayment rate (annualized) 7.40 % $ (324 ) $ (644 ) 7.60 % $ (313 ) $ (622 ) Discount rate 15.00 (1,270 ) (1,870 ) 15.00 (610 ) (1,194 ) Servicing income was $9 million , $8 million , and $7 million for the years ended December 31, 2016 , 2015 , and 2014 , respectively. The unpaid principal balance of SBA loans serviced for third parties was $1.1 billion , $1.0 billion and $0.9 billion at December 31, 2016 , 2015 , and 2014 , respectively. |
GOODWILL AND OTHER INTANGIBLE A
GOODWILL AND OTHER INTANGIBLE ASSETS | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND OTHER INTANGIBLE ASSETS | GOODWILL AND OTHER INTANGIBLE ASSETS Business segments are based on segment leadership structure, which reflects how segment performance is monitored and assessed. We have five major business segments: Consumer and Business Banking , Commercial Banking , Commercial Real Estate and Vehicle Finance (CREVF) , Regional Banking and The Huntington Private Client Group (RBHPCG) , and Home Lending . A Treasury / Other function includes technology and operations, other unallocated assets, liabilities, revenue, and expense. A rollforward of goodwill by business segment for the years ended December 31, 2016 and 2015 , is presented in the table below: Consumer & Business Commercial Home Treasury/ Huntington (dollar amounts in thousands) Banking Banking CREVF RBHPCG Lending Other Consolidated Balance, January 1, 2015 $ 368,097 $ 59,594 $ — $ 90,012 $ — $ 4,838 $ 522,541 Goodwill acquired during the period — 155,828 — — — — 155,828 Adjustments — — — (1,500 ) — — (1,500 ) Balance, December 31, 2015 368,097 215,422 — 88,512 — 4,838 676,869 Goodwill acquired during the period 1,030,046 237,542 — 53,230 — — 1,320,818 Adjustments — — — — — (4,838 ) (4,838 ) Balance, December 31, 2016 $ 1,398,143 $ 452,964 $ — $ 141,742 $ — $ — $ 1,992,849 On August 16, 2016, Huntington completed its acquisition of FirstMerit in a stock and cash transaction valued at approximately $3.7 billion . In connection with the acquisition, the Company recorded $1.3 billion of goodwill, $310 million core deposit intangible asset and $95 million of other intangible assets. Huntington allocated goodwill recognized in the acquisition of FirstMerit to its existing operating segments. The allocation was performed using the ‘with and without’ approach, where an entity calculates the fair value of each segment before and after the acquisition, with the difference attributable to the fair value acquired via the acquisition. This method is most appropriate when multiple segments are expected to benefit from synergies realized in an acquisition. The results of the allocation are presented in the table above. For additional information on the acquisition, see Note 3 Acquisition of FirstMerit Corporation. During the 2016 third quarter, Huntington reclassified $5 million of goodwill in the Treasury / Other segment related to a held for sale disposal group. On March 31, 2015, Huntington completed its acquisition of Macquarie Equipment Finance, which was re-branded Huntington Technology Finance. As part of the transaction, Huntington recorded $156 million of goodwill and $8 million of other intangible assets. During 2015, Huntington adjusted the goodwill in the RBHPCG segment related to a sale of HASI and HAA. The amount was adjusted based on relative fair value methodology. Goodwill is not amortized but is evaluated for impairment on an annual basis at October 1 of each year or whenever events or changes in circumstances indicate the carrying value may not be recoverable. As a result of the 2014 first quarter reorganization in our reported business segments, goodwill was reallocated among the business segments. Immediately following the reallocation, impairment of $3 million was recorded in the Home Lending reporting segment. No impairment was recorded in 2016 or 2015 . At December 31, 2016 and 2015 , Huntington’s other intangible assets consisted of the following: (dollar amounts in thousands) Gross Accumulated Net December 31, 2016 Core deposit intangible $ 324,619 $ (26,778 ) $ 297,841 Customer relationship 194,956 (1) (90,383 ) 104,573 Other 150 (106 ) 44 Total other intangible assets $ 519,725 $ (117,267 ) $ 402,458 December 31, 2015 Core deposit intangible $ 400,058 $ (384,606 ) $ 15,452 Customer relationship 116,094 (76,656 ) 39,438 Other 25,164 (25,076 ) 88 Total other intangible assets $ 541,316 $ (486,338 ) $ 54,978 (1) During the 2016 third quarter, certain commercial merchant relationships, which resulted in an intangible of $14 million , were contributed to a joint venture in which Huntington holds a minority interest. The estimated amortization expense of other intangible assets for the next five years is as follows: (dollar amounts in thousands) Amortization Expense 2017 $ 56,333 2018 53,161 2019 50,446 2020 42,291 2021 39,783 |
PREMISES AND EQUIPMENT
PREMISES AND EQUIPMENT | 12 Months Ended |
Dec. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
PREMISES AND EQUIPMENT | PREMISES AND EQUIPMENT Premises and equipment were comprised of the following at December 31, 2016 and 2015 : At December 31, (dollar amounts in thousands) 2016 2015 Land and land improvements $ 199,193 $ 140,414 Buildings 523,181 366,963 Leasehold improvements 265,384 246,222 Equipment 721,014 647,769 Total premises and equipment 1,708,772 1,401,368 Less accumulated depreciation and amortization (893,264 ) (780,828 ) Net premises and equipment $ 815,508 $ 620,540 Depreciation and amortization charged to expense and rental income credited to net occupancy expense for the three years ended December 31, 2016 , 2015 , and 2014 were: (dollar amounts in thousands) 2016 2015 2014 Total depreciation and amortization of premises and equipment $ 125,856 $ 85,805 $ 82,296 Rental income credited to occupancy expense 12,512 12,563 11,556 |
SHORT-TERM BORROWINGS
SHORT-TERM BORROWINGS | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
SHORT-TERM BORROWINGS | SHORT-TERM BORROWINGS Borrowings with original maturities of one year or less are classified as short-term and were comprised of the following at December 31, 2016 and 2015 : At December 31, (dollar amounts in thousands) 2016 2015 Federal funds purchased and securities sold under agreements to repurchase $ 1,248,089 $ 601,272 Federal Home Loan Bank advances 2,425,000 — Other borrowings 19,565 14,007 Total short-term borrowings $ 3,692,654 $ 615,279 Other borrowings consist of borrowings from the Treasury and other notes payable. |
LONG-TERM DEBT
LONG-TERM DEBT | 12 Months Ended |
Dec. 31, 2016 | |
Debt Instruments [Abstract] | |
LONG-TERM DEBT | LONG-TERM DEBT Huntington’s long-term debt consisted of the following: At December 31, (dollar amounts in thousands) 2016 2015 The Parent Company: Senior Notes: 3.19% Huntington Bancshares Incorporated medium-term notes due 2021 $ 972,625 $ — 2.33% Huntington Bancshares Incorporated senior note due 2022 953,674 — 2.64% Huntington Bancshares Incorporated senior note due 2018 399,278 399,169 Subordinated Notes: 7.00% Huntington Bancshares Incorporated subordinated notes due 2020 319,857 326,379 3.55% Huntington Bancshares Incorporated subordinated notes due 2023 248,156 — Sky Financial Capital Trust IV 2.40% junior subordinated debentures due 2036 (1) 74,320 74,320 Sky Financial Capital Trust III 2.40% junior subordinated debentures due 2036 (1) 72,165 72,165 Huntington Capital I Trust Preferred 1.70% junior subordinated debentures due 2027 (2) 68,720 110,706 Huntington Capital II Trust Preferred 1.06% junior subordinated debentures due 2028 (3) 31,576 54,030 Camco Statutory Trust I 2.30% due 2037 (4) 4,244 4,212 Total notes issued by the parent 3,144,615 1,040,981 The Bank: Senior Notes: 2.24% Huntington National Bank senior notes due 2018 843,568 841,313 2.10% Huntington National Bank senior notes due 2018 747,170 745,894 1.75% Huntington National Bank senior notes due 2018 499,732 501,006 1.43% Huntington National Bank senior note due 2019 499,686 498,678 2.23% Huntington National Bank senior note due 2017 499,445 500,416 2.43% Huntington National Bank senior notes due 2020 498,448 498,185 2.97% Huntington National Bank senior notes due 2020 495,088 495,998 1.42% Huntington National Bank senior notes due 2017 (5) 250,000 250,000 5.04% Huntington National Bank medium-term notes due 2018 36,351 37,469 1.31% Huntington National Bank senior note due 2016 — 498,360 1.40% Huntington National Bank senior note due 2016 — 349,399 Subordinated Notes: 3.86% Huntington National Bank subordinated notes due 2026 239,293 — 6.67% Huntington National Bank subordinated notes due 2018 131,910 136,227 5.45% Huntington National Bank subordinated notes due 2019 81,155 83,833 5.59% Huntington National Bank subordinated notes due 2016 — 103,357 Total notes issued by the bank 4,821,846 5,540,135 FHLB Advances: 3.47% weighted average rate, varying maturities greater than one year 7,540 7,800 Other: Huntington Technology Finance nonrecourse debt, 3.43% effective interest rate, varying maturities 277,523 301,577 Huntington Technology Finance ABS Trust 2014 1.70% due 2020 57,494 123,577 Huntington Technology Finance ABS Trust 2012 1.79% due 2017 — 27,153 Other 141 141 Total other 335,158 452,448 Total long-term debt $ 8,309,159 $ 7,041,364 (1) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 1.400% (2) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 0.70% (3) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 0.625% (4) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 1.33% . (5) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 0.425% . Amounts above are net of unamortized discounts and adjustments related to hedging with derivative financial instruments. The derivative instruments, principally interest rate swaps, are used to hedge the fair values of certain fixed-rate debt by converting the debt to a variable rate. See Note 18 for more information regarding such financial instruments. In August 2016, Parent Company and Bank subordinated debt with a fair value totaling $520 million was acquired by Huntington as part of the FirstMerit acquisition. See Note 3 Acquisition of FirstMerit Corporation for additional information on the method used to determine fair value. In August 2016, Huntington issued $1.0 billion of senior notes at 99.849% of face value. The senior notes mature on January 14, 2022 and have a fixed coupon rate of 2.3% . At December 31, 2016 , debt issuance costs of $5 million related to the note are reported on the balance sheet as a direct deduction from the face amount of the note. In March 2016, Huntington issued $1.0 billion of senior notes at 99.803% of face value. The senior notes mature on March 14, 2021 and have a fixed coupon rate of 3.15% . At December 31, 2016 , debt issuance costs of $5 million related to the note are reported on the balance sheet as a direct deduction from the face amount of the note. In November 2015, the Bank issued $850 million of senior notes at 99.88% of face value. The senior bank note issuances mature on November 6, 2018 and have a fixed coupon rate of 2.20% . The senior notes may be redeemed one month prior to maturity date at 100% of principal plus accrued and unpaid interest. In August 2015, the Bank issued $500 million of senior notes at 99.58% of face value. The senior bank note issuances mature on August 20, 2020 and have a fixed coupon rate of 2.88% . In June 2015, the Bank issued $750 million of senior notes at 99.71% of face value. The senior bank note issuances mature on June 30, 2018 and have a fixed coupon rate of 2.00% . On March 31, 2015, Huntington completed its acquisition of Huntington Technology Finance. As part of the acquisition, Huntington assumed $293 million of non-recourse debt with various financial institutions and maturity dates. The effective interest rate on the non-recourse debt is 3.20% . Huntington also assumed $255 million of debt associated with two securitizations. The securitization debt has various classes and associated maturity dates and has an effective interest rate of 1.70% . In February 2015, the Bank issued $500 million of senior notes at 99.86% of face value. The senior bank note issuances mature on February 26, 2018 and have a fixed coupon rate of 1.70% . Also, in February 2015, the Bank issued $500 million of senior notes at 99.87% of face value. The senior bank note issuances mature on April 1, 2020 and have a fixed coupon rate of 2.40% . Both senior note issuances may be redeemed one month prior to the maturity date at 100% of principal plus accrued and unpaid interest. Long-term debt maturities for the next five years and thereafter are as follows: (dollar amounts in thousands) 2017 2018 2019 2020 2021 Thereafter Total The Parent Company: Senior notes $ — $ 400,000 $ — $ — $ 1,000,000 $ 1,000,000 $ 2,400,000 Subordinated notes — — — 300,000 — 503,463 803,463 The Bank: Senior notes 750,000 2,135,000 500,000 1,000,000 — — 4,385,000 Subordinated notes — 125,539 75,716 — — 250,000 451,255 FHLB Advances 100 1,115 325 2,368 — 3,769 7,677 Other 64,288 84,357 62,048 81,551 42,187 726 335,157 Total $ 814,388 $ 2,746,011 $ 638,089 $ 1,383,919 $ 1,042,187 $ 1,757,958 $ 8,382,552 These maturities are based upon the par values of the long-term debt. The terms of the long-term debt obligations contain various restrictive covenants including limitations on the acquisition of additional debt in excess of specified levels, dividend payments, and the disposition of subsidiaries. As of December 31, 2016 , Huntington was in compliance with all such covenants. |
OTHER COMPREHENSIVE INCOME
OTHER COMPREHENSIVE INCOME | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
OTHER COMPREHENSIVE INCOME | OTHER COMPREHENSIVE INCOME The components of Huntington’s OCI in the three years ended December 31, 2016 , 2015 , and 2014 , were as follows: 2016 Tax (expense) (dollar amounts in thousands) Pretax Benefit After-tax Noncredit-related impairment recoveries (losses) on debt securities not expected to be sold $ 905 $ (320 ) $ 585 Unrealized holding gains (losses) on available-for-sale debt securities arising during the period (203,048 ) 70,599 (132,449 ) Less: Reclassification adjustment for net losses (gains) included in net income (107,145 ) 37,884 (69,261 ) Net change in unrealized holding gains (losses) on available-for-sale debt securities (309,288 ) 108,163 (201,125 ) Net change in unrealized holding gains (losses) on available-for-sale equity securities 171 (60 ) 111 Unrealized gains (losses) on derivatives used in cash flow hedging relationships arising during the period 2,381 (833 ) 1,548 Less: Reclassification adjustment for net (gains) losses included in net income (360 ) 126 (234 ) Net change in unrealized gains (losses) on derivatives used in cash flow hedging relationships 2,021 (707 ) 1,314 Net change in pension and other post-retirement obligations 38,218 (13,376 ) 24,842 Total other comprehensive income (loss) $ (268,878 ) $ 94,020 $ (174,858 ) 2015 Tax (expense) (dollar amounts in thousands) Pretax Benefit After-tax Noncredit-related impairment recoveries (losses) on debt securities not expected to be sold $ 19,606 $ (6,933 ) $ 12,673 Unrealized holding gains (losses) on available-for-sale debt securities arising during the period (26,021 ) 9,108 (16,913 ) Less: Reclassification adjustment for net losses (gains) included in net income (3,901 ) 1,365 (2,536 ) Net change in unrealized holding gains (losses) on available-for-sale debt securities (10,316 ) 3,540 (6,776 ) Net change in unrealized holding gains (losses) on available-for-sale equity securities (474 ) 166 (308 ) Unrealized gains (losses) on derivatives used in cash flow hedging relationships arising during the period 12,966 (4,538 ) 8,428 Less: Reclassification adjustment for net (gains) losses included in net income (220 ) 77 (143 ) Net change in unrealized gains (losses) on derivatives used in cash flow hedging relationships 12,746 (4,461 ) 8,285 Net change in pension and other post-retirement obligations (7,795 ) 2,728 (5,067 ) Total other comprehensive income (loss) $ (5,839 ) $ 1,973 $ (3,866 ) 2014 Tax (expense) (dollar amounts in thousands) Pretax Benefit After-tax Noncredit-related impairment recoveries (losses) on debt securities not expected to be sold $ 13,583 $ (4,803 ) $ 8,780 Unrealized holding gains (losses) on available-for-sale debt securities arising during the period 86,618 (30,914 ) 55,704 Less: Reclassification adjustment for net gains (losses) included in net income (15,559 ) 5,446 (10,113 ) Net change in unrealized holding gains (losses) on available-for-sale debt securities 84,642 (30,271 ) 54,371 Net change in unrealized holding gains (losses) on available-for-sale equity securities 295 (103 ) 192 Unrealized gains and losses on derivatives used in cash flow hedging relationships arising during the period 14,141 (4,949 ) 9,192 Less: Reclassification adjustment for net losses (gains) losses included in net income (3,971 ) 1,390 (2,581 ) Net change in unrealized gains (losses) on derivatives used in cash flow hedging relationships 10,170 (3,559 ) 6,611 Net change in pension and post-retirement obligations (106,857 ) 37,400 (69,457 ) Total other comprehensive income (loss) $ (11,750 ) $ 3,467 $ (8,283 ) Activity in accumulated OCI for the two years ended December 31, were as follows: (dollar amounts in thousands) Unrealized gains and (losses) on debt securities (1) Unrealized gains and (losses) on equity securities Unrealized gains and (losses) on cash flow hedging derivatives Unrealized gains (losses) for pension and other post- retirement obligations Total December 31, 2014 $ 15,137 $ 484 $ (12,233 ) $ (225,680 ) $ (222,292 ) Other comprehensive income before reclassifications (4,240 ) (308 ) 8,428 — 3,880 Amounts reclassified from accumulated OCI to earnings (2,536 ) — (143 ) (5,067 ) (7,746 ) Period change (6,776 ) (308 ) 8,285 (5,067 ) (3,866 ) December 31, 2015 8,361 176 (3,948 ) (230,747 ) (226,158 ) Other comprehensive income before reclassifications (131,864 ) 111 1,548 — (130,205 ) Amounts reclassified from accumulated OCI to earnings (69,261 ) — (234 ) 24,842 (44,653 ) Period change (201,125 ) 111 1,314 24,842 (174,858 ) December 31, 2016 $ (192,764 ) $ 287 $ (2,634 ) $ (205,905 ) $ (401,016 ) (1) Amount at December 31, 2016 includes $(82) million of net unrealized losses on securities transferred from the available-for-sale securities portfolio to the held-to-maturity securities portfolio. The net unrealized losses will be recognized in earnings over the remaining life of the security using the effective interest method. The following table presents the reclassification adjustments out of accumulated OCI included in net income and the impacted line items as listed on the Consolidated Statements of Income for the years ended December 31, 2016 and 2015 : Reclassifications out of accumulated OCI Accumulated OCI components Amounts reclassified from accumulated OCI Location of net gain (loss) reclassified from accumulated OCI into earnings (dollar amounts in thousands) 2016 2015 Gains (losses) on debt securities: Amortization of unrealized gains (losses) $ 91,058 $ (144 ) Interest income—held-to-maturity securities—taxable Realized gain (loss) on sale of securities 18,206 6,485 Noninterest income—net gains (losses) on sale of securities OTTI recorded (2,119 ) (2,440 ) Noninterest income—net gains (losses) on sale of securities Total before tax 107,145 3,901 Tax (expense) benefit (37,884 ) (1,365 ) Net of tax $ 69,261 $ 2,536 Gains (losses) on cash flow hedging relationships: Interest rate contracts $ 361 $ 210 Interest and fee income—loans and leases Interest rate contracts (1 ) 10 Noninterest expense—other income Total before tax 360 220 Tax (expense) benefit (126 ) (77 ) Net of tax $ 234 $ 143 Amortization of defined benefit pension and post-retirement items: Actuarial gains (losses) $ (40,186 ) $ 5,827 Noninterest expense—personnel costs Net periodic benefit costs 1,968 1,968 Noninterest expense—personnel costs Total before tax (38,218 ) 7,795 Tax (expense) benefit 13,376 (2,728 ) Net of tax $ (24,842 ) $ 5,067 |
SHAREHOLDERS' EQUITY
SHAREHOLDERS' EQUITY | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Stockholders' Equity Note [Abstract] | ||
SHAREHOLDERS' EQUITY | SHAREHOLDERS’ EQUITY The following is a summary of Huntington's non-cumulative perpetual preferred stock outstanding as of December 31, 2016 . (dollar amounts in thousands, except per share amounts) Series Issuance Date Total Shares Outstanding Carrying Amount Dividend Rate Earliest Redemption Date Series A 11/14/2008 362,506 362,506 8.50 % N/A Series B 12/28/2011 35,500 23,785 3-mo. LIBOR + 270 bps 1/15/2017 Series D 3/21/2016 400,000 386,348 6.25 % 7/15/2021 Series D 5/5/2016 200,000 198,588 6.25 % 7/15/2021 Series C 8/16/2016 100,000 100,000 5.875 % 1/15/2022 Total 1,098,006 $ 1,071,227 Each series of preferred stock has a liquidation value and redemption price per share of $1,000, plus any declared and unpaid dividends. All preferred stock, with the exception of Series A, has no stated maturity and redemption is solely at the option of the Company. Under current rules, any redemption of the preferred stock is subject to prior approval of the FRB. Each share of the Series A Preferred Stock is non-voting and may be converted at any time, at the option of the holder, into 83.668 shares of common stock of Huntington, which represents an approximate initial conversion price of $11.95 per share of common stock. Since April 15, 2013, at the option of Huntington, the Series A Preferred Stock is subject to mandatory conversion into Huntington’s common stock at the prevailing conversion rate if the closing price of Huntington’s common stock exceeds 130% of the conversion price for 20 trading days during any 30 consecutive trading-day period. At the option of the holder, one share was converted to common stock during the fourth quarter of 2015. Preferred Series C Stock issued and outstanding In connection with the FirstMerit acquisition, during the 2016 third quarter, Huntington issued $100 million of preferred stock. As part of this transaction, Huntington issued 4,000,000 depositary shares, each representing a 1/40th ownership interest in a share of 5.875% Series C Non-Cumulative Perpetual Preferred Stock (Preferred C Stock), par value $0.01 per share, with a liquidation preference of $1,000 per share (equivalent to $25 per depositary share). Each holder of a depositary share, will be entitled to all proportional rights and preferences of the Preferred C Stock (including dividend, voting, redemption, and liquidation rights). Dividends on the Preferred C Stock will be non-cumulative and payable quarterly in arrears, when, as and if authorized by the Company's board of directors or a duly authorized committee of the board and declared by the Company, at an annual rate of 5.875% per year on the liquidation preference of $1,000 per share, equivalent to $25 per depositary share. The dividend payment dates will be the fifteenth day of each January, April, July and October, commencing on October 15, 2016, or the next business day if any such day is not a business day. The Preferred C Stock is perpetual and has no maturity date. Huntington may redeem the Preferred C Stock at its option, (i) in whole or in part, from time to time, on any dividend payment date on or after October 15, 2021 or (ii) in whole but not in part, within 90 days following a regulatory capital treatment event, in each case, at a redemption price equal to $1,000 per share (equivalent to $25 per depositary share), plus any declared and unpaid dividends, without regard to any undeclared dividends, on the Series C Preferred Stock prior to the date fixed for redemption. If Huntington redeems the Preferred C Stock, the depositary will redeem a proportional number of depositary shares. Neither the holders of Preferred C Stock nor holders of depositary shares will have the right to require the redemption or repurchase of the Preferred C Stock or the depositary shares. Any redemption of the Preferred C Stock is subject to Huntington's receipt of any required prior approval by the Board of Governors of the Federal Reserve System. Preferred Series D Stock issued and outstanding During the 2016 first and second quarter, Huntington issued $400 million and $200 million of preferred stock, respectively. As part of these transactions, Huntington issued 24,000,000 depositary shares, each representing a 1/40th ownership interest in a share of 6.250% Series D Non-Cumulative Perpetual Preferred Stock (Preferred D Stock), par value $0.01 per share, with a liquidation preference of $1,000 per share (equivalent to $25 per depositary share). Each holder of a depositary share, will be entitled to all proportional rights and preferences of the Preferred D Stock (including dividend, voting, redemption, and liquidation rights). Costs of $15 million related to the issuance of the Preferred D Stock are reported as a direct deduction from the face amount of the stock. Dividends on the Preferred D Stock will be non-cumulative and payable quarterly in arrears, when, as and if authorized by the Company's board of directors or a duly authorized committee of the board and declared by the Company, at an annual rate of 6.25% per year on the liquidation preference of $1,000 per share, equivalent to $25 per depositary share. The dividend payment dates will be the fifteenth day of each January, April, July and October, commencing on July 15, 2016, or the next business day if any such day is not a business day. The Preferred D Stock is perpetual and has no maturity date. Huntington may redeem the Preferred D Stock at its option, (i) in whole or in part, from time to time, on any dividend payment date on or after April 15, 2021 or (ii) in whole but not in part, within 90 days following a regulatory capital treatment event, in each case, at a redemption price equal to $1,000 per share (equivalent to $25 per depositary share), plus any declared and unpaid dividends and, in the case of a redemption following a regulatory capital treatment event, the prorated portion of dividends, whether or not declared, for the dividend period in which such redemption occurs. Notwithstanding the foregoing, pursuant to a commitment Huntington made to the Federal Reserve, for at least five years after the date of the issuance of depositary shares offered by the prospectus supplement, Huntington will not redeem or repurchase the Preferred D Stock, whether issued on March 21, 2016 or on the date of the issuance of the depositary shares offered by the prospectus supplement. If Huntington redeems the Preferred D Stock, the depositary will redeem a proportional number of depositary shares. Neither the holders of Preferred D Stock nor holders of depositary shares will have the right to require the redemption or repurchase of the Preferred D Stock or the depositary shares. Any redemption of the Preferred D Stock is subject to Huntington's receipt of any required prior approval by the Board of Governors of the Federal Reserve System. 2016 Comprehensive Capital Analysis and Review (CCAR) On June 29, 2016, Huntington announced that the Federal Reserve did not object to the proposed capital actions included in Huntington's capital plan submitted to the Federal Reserve in April 2016 as part of the 2016 CCAR. These actions included an increase in the quarterly dividend per common share to $0.08 , starting in the fourth quarter of 2016. Huntington’s capital plan also included the issuance of capital in connection with the acquisition of FirstMerit Corporation and continues the previously announced suspension of the Company’s 2015 share repurchase program. 2015 Share Repurchase Program During 2015, Huntington repurchased a total of 23.0 million shares of common stock at a weighted average share price of $10.93 . | 23 |
EARNINGS PER SHARE
EARNINGS PER SHARE | 12 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | EARNINGS PER SHARE Basic earnings per share is the amount of earnings (adjusted for dividends declared on preferred stock) available to each share of common stock outstanding during the reporting period. Diluted earnings per share is the amount of earnings available to each share of common stock outstanding during the reporting period adjusted to include the effect of potentially dilutive common shares. Potentially dilutive common shares include incremental shares issued for stock options, restricted stock units and awards, distributions from deferred compensation plans, and the conversion of the Company’s convertible preferred stock (See Note 13 ). Potentially dilutive common shares are excluded from the computation of diluted earnings per share in periods in which the effect would be antidilutive. For diluted earnings per share, net income available to common shares can be affected by the conversion of the Company’s convertible preferred stock. Where the effect of this conversion would be dilutive, net income available to common shareholders is adjusted by the associated preferred dividends and deemed dividend. The calculation of basic and diluted earnings per share for each of the three years ended December 31 was as follows: Year ended December 31, (dollar amounts in thousands, except per share amounts) 2016 2015 2014 Basic earnings per common share: Net income $ 711,821 $ 692,957 $ 632,392 Preferred stock dividends (65,274 ) (31,873 ) (31,854 ) Net income available to common shareholders $ 646,547 $ 661,084 $ 600,538 Average common shares issued and outstanding 904,438 803,412 819,917 Basic earnings per common share: $ 0.72 $ 0.82 $ 0.73 Diluted earnings per common share Net income available to common shareholders $ 646,547 $ 661,084 $ 600,538 Effect of assumed preferred stock conversion — — — Net income applicable to diluted earnings per share $ 646,547 $ 661,084 $ 600,538 Average common shares issued and outstanding 904,438 803,412 819,917 Dilutive potential common shares: Stock options and restricted stock units and awards 11,728 11,633 11,421 Shares held in deferred compensation plans 2,486 1,912 1,420 Other 138 172 323 Dilutive potential common shares: 14,352 13,717 13,164 Total diluted average common shares issued and outstanding 918,790 817,129 833,081 Diluted earnings per common share $ 0.70 $ 0.81 $ 0.72 Approximately 3.1 million , 1.6 million , and 2.6 million options to purchase shares of common stock outstanding at the end of December 31, 2016 , 2015 , and 2014 , respectively, were not included in the computation of diluted earnings per share because the effect would be antidilutive. |
SHARE-BASED COMPENSATION
SHARE-BASED COMPENSATION | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
SHARE-BASED COMPENSATION | SHARE-BASED COMPENSATION Huntington sponsors nonqualified and incentive share based compensation plans. These plans provide for the granting of stock options and other awards to officers, directors, and other employees. Compensation costs are included in personnel costs on the Consolidated Statements of Income. Stock options are granted at the closing market price on the date of the grant. Options granted typically vest ratably over four years or when other conditions are met. Stock options, which represented a portion of the grant values, have no intrinsic value until the stock price increases. Options granted on or after May 1, 2015 have a contractual term of ten years . All options granted on or before April 30, 2015 have a contractual term of seven years . 2015 Long-Term Incentive Plan In 2015, shareholders approved the Huntington Bancshares Incorporated 2015 Long-Term Incentive Plan (the 2015 Plan). Shares remaining under the 2012 Plan have been incorporated into the 2015 Plan and reduced the full number of shares covered by all awards. Accordingly, the total number of shares authorized for awards under the 2015 Plan is 30 million shares. At December 31, 2016 , 16 million shares from the Plan were available for future grants. Huntington issues shares to fulfill stock option exercises and restricted stock unit and award vesting from available authorized common shares. At December 31, 2016 , Huntington believes there are adequate authorized common shares to satisfy anticipated stock option exercises and restricted stock unit and award vesting in 2017 . Huntington uses the Black-Scholes option pricing model to value options in determining the share-based compensation expense. Forfeitures are estimated at the date of grant based on historical rates, and updated as necessary, and reduce the compensation expense recognized. The risk-free interest rate is based on the U.S. Treasury yield curve in effect at the date of grant. The expected dividend yield is based on the dividend rate and stock price at the date of the grant. Expected volatility is based on the estimated volatility of Huntington’s stock over the expected term of the option. The following table presents the weighted average assumptions used in the option-pricing model at the grant date for options granted in the three years ended December 31, 2016 , 2015 , and 2014 : 2016 2015 2014 Assumptions Risk-free interest rate 1.63 % 2.13 % 1.69 % Expected dividend yield 3.18 2.57 2.61 Expected volatility of Huntington’s common stock 30.0 29.0 32.3 Expected option term (years) 6.5 6.5 5 Weighted-average grant date fair value per share $ 2.17 $ 2.57 $ 2.13 The following table presents total share-based compensation expense and related tax benefit for the three years ended December 31, 2016 , 2015 , and 2014 : (dollar amounts in thousands) 2016 2015 2014 Share-based compensation expense $ 65,608 $ 51,415 $ 43,666 Tax benefit 22,496 17,618 14,779 Huntington’s stock option activity and related information for the year ended December 31, 2016 , was as follows: (amounts in thousands, except years and per share amounts) Options Weighted- Weighted- Aggregate Outstanding at January 1, 2016 16,121 $ 7.25 Granted 1,596 10.06 Exercised (2,372 ) 5.90 Forfeited/expired (471 ) 15.73 Outstanding at December 31, 2016 14,874 $ 7.50 3.6 $ 85,159 Expected to vest (1) 3,656 $ 9.59 7.1 $ 13,267 Exercisable at December 31, 2016 10,985 $ 6.75 2.4 $ 71,114 (1) The number of options expected to vest includes an estimate of 233 thousand shares expected to be forfeited. The aggregate intrinsic value represents the amount by which the fair value of underlying stock exceeds the “in-the-money” option exercise price. For the years ended December 31, 2016 , 2015 , and 2014 , cash received for the exercises of stock options was $14 million , $26 million and $21 million , respectively. The tax benefit realized for the tax deductions from option exercises totaled $3 million , $7 million and $4 million in 2016 , 2015 , and 2014 , respectively. Huntington also grants restricted stock, restricted stock units, performance share awards, and other stock-based awards. Restricted stock units and awards are issued at no cost to the recipient, and can be settled only in shares at the end of the vesting period. Restricted stock awards provide the holder with full voting rights and cash dividends during the vesting period. Restricted stock units do not provide the holder with voting rights or cash dividends during the vesting period, but do accrue a dividend equivalent that is paid upon vesting, and are subject to certain service restrictions. Performance share awards are payable contingent upon Huntington achieving certain predefined performance objectives over the three -year measurement period. The fair value of these awards is the closing market price of Huntington’s common stock on the grant date. The following table summarizes the status of Huntington’s restricted stock units and performance share awards as of December 31, 2016 , and activity for the year ended December 31, 2016 : Restricted Stock Awards Restricted Stock Units Performance Share Awards (amounts in thousands, except per share amounts) Quantity Weighted- Average Grant Date Fair Value Per Share Quantity Weighted- Average Grant Date Fair Value Per Share Quantity Weighted- Average Grant Date Fair Value Per Share Nonvested at January 1, 2016 7 $ 9.53 12,170 $ 9.11 2,893 $ 8.99 Granted — — 6,526 9.69 981 9.04 Assumed 916 9.68 — — 807 9.68 Vested (241 ) 9.68 (3,142 ) 7.91 (1,307 ) 8.05 Forfeited (26 ) 9.68 (821 ) 9.52 (67 ) 9.78 Nonvested at December 31, 2016 656 $ 9.68 14,733 $ 9.61 3,307 $ 9.63 The weighted-average grant date fair value of nonvested shares granted for the years ended December 31, 2016 , 2015 , and 2014 were $9.59 , $10.86 , and $9.09 , respectively. The total fair value of awards vested during the years ended December 31, 2016 , 2015 , and 2014 was $31 million , $30 million , and $26 million , respectively. As of December 31, 2016 , the total unrecognized compensation cost related to nonvested awards was $81 million with a weighted-average expense recognition period of 2.3 years . |
BENEFIT PLANS
BENEFIT PLANS | 12 Months Ended |
Dec. 31, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
BENEFIT PLANS | BENEFIT PLANS Huntington sponsors the Plan, a non-contributory defined benefit pension plan covering substantially all employees hired or rehired prior to January 1, 2010. The Plan, which was modified in 2013 and no longer accrues service benefits to participants, provides benefits based upon length of service and compensation levels. The funding policy of Huntington is to contribute an annual amount that is at least equal to the minimum funding requirements but not more than the amount deductible under the Internal Revenue Code. Although not required, Huntington made a $150 million contribution to the Plan in the third quarter of 2016. In addition, Huntington has an unfunded defined benefit post-retirement plan that provides certain healthcare and life insurance benefits to retired employees who have attained the age of 55 and have at least 10 years of vesting service under this plan. For any employee retiring on or after January 1, 1993, post-retirement healthcare benefits are based upon the employee’s number of months of service and are limited to the actual cost of coverage. Life insurance benefits are a percentage of the employee’s base salary at the time of retirement, with a maximum of $50,000 of coverage. The employer paid portion of the post-retirement health and life insurance plan was eliminated for employees retiring on and after March 1, 2010. Eligible employees retiring on and after March 1, 2010, who elect retiree medical coverage, will pay the full cost of this coverage. Huntington will not provide any employer paid life insurance to employees retiring on and after March 1, 2010. Eligible employees will be able to convert or port their existing life insurance at their own expense under the same terms that are available to all terminated employees. On January 1, 2015, Huntington terminated the company sponsored retiree health care plan for Medicare eligible retirees and their dependents. Instead, Huntington will partner with a third-party to assist the retirees and their dependents in selecting individual policies from a variety of carriers on a private exchange. This plan amendment resulted in a measurement of the liability at the approval date. The result of the measurement was a $5 million reduction of the liability and increase in accumulated other comprehensive income. It will also result in a reduction of expense over the estimated life of plan participants. The following table shows the weighted-average assumptions used to determine the benefit obligation at December 31, 2016 and 2015 , and the net periodic benefit cost for the years then ended: Pension Post-Retirement 2016 2015 2016 2015 Weighted-average assumptions used to determine benefit obligations Discount rate 4.38 % 4.54 % 3.64 % 3.81 % Rate of compensation increase N/A N/A N/A N/A Weighted-average assumptions used to determine net periodic benefit cost Discount rate (1) 4.54 4.12 3.81 3.73 Expected return on plan assets 6.75 7.00 N/A N/A Rate of compensation increase N/A N/A N/A N/A N/A—Not Applicable (1) The 2015 post-retirement benefit expense was remeasured as of September 30, 2015, for the purchase of life insurance contracts for participants due a death benefit. The discount rate was 3.72% from January 1, 2015 to September 30, 2015, and was changed to 3.77% for the period from September 30, 2015 to December 31, 2015. The expected long-term rate of return on plan assets is an assumption reflecting the average rate of earnings expected on the funds invested or to be invested to provide for the benefits included in the projected benefit obligation. The expected long-term rate of return is established at the beginning of the plan year based upon historical returns and projected returns on the underlying mix of invested assets. The following table reconciles the beginning and ending balances of the benefit obligation of the Plan and the post-retirement benefit plan with the amounts recognized in the consolidated balance sheets at December 31: Pension Benefits Post-Retirement Benefits (dollar amounts in thousands) 2016 2015 2016 2015 Projected benefit obligation at beginning of measurement year $ 754,714 $ 799,594 $ 8,025 $ 15,963 Changes due to: Service cost 4,100 1,830 — — Interest cost 26,992 31,937 219 506 Benefits paid (18,306 ) (17,246 ) (1,915 ) (2,211 ) Settlements (21,684 ) (27,976 ) — (6,993 ) Medicare subsidies — — — 117 Actuarial assumptions and gains and losses (9,470 ) (33,425 ) 963 643 Total changes (18,368 ) (44,880 ) (733 ) (7,938 ) Projected benefit obligation at end of measurement year $ 736,346 $ 754,714 $ 7,292 $ 8,025 The following table reconciles the beginning and ending balances of the fair value of Plan assets at the December 31, 2016 and 2015 measurement dates: Pension Benefits (dollar amounts in thousands) 2016 2015 Fair value of plan assets at beginning of measurement year $ 594,217 $ 653,013 Changes due to: Actual return on plan assets 39,895 (16,122 ) Employer Contributions 150,000 — Settlements (20,081 ) (25,428 ) Benefits paid (18,306 ) (17,246 ) Total changes 151,508 (58,796 ) Fair value of plan assets at end of measurement year $ 745,725 $ 594,217 Huntington’s accumulated benefit obligation under the Plan was $736 million and $755 million at December 31, 2016 and 2015 . As of December 31, 2016 , the difference between the accumulated benefit obligation and the fair value of Huntington's plan assets was $9 million and is recorded in noncurrent liabilities. The following table shows the components of net periodic benefit costs recognized in the three years ended December 31, 2016 : Pension Benefits Post-Retirement Benefits (dollar amounts in thousands) 2016 2015 2014 2016 2015 2014 Service cost $ 4,100 $ 1,830 $ 1,740 $ — $ — $ — Interest cost 26,992 31,937 32,398 219 506 856 Expected return on plan assets (40,895 ) (44,175 ) (45,783 ) — — — Amortization of prior service credit — — — (1,968 ) (1,968 ) (1,609 ) Amortization of (gain) / loss 7,459 7,934 5,767 (288 ) (401 ) (571 ) Settlements 9,495 12,645 11,200 — (3,090 ) — Benefit costs $ 7,151 $ 10,171 $ 5,322 $ (2,037 ) $ (4,953 ) $ (1,324 ) Included in benefit costs are $2 million , $4 million , and $2 million of plan expenses that were recognized in the three years ended December 31, 2016 , 2015 , and 2014 . It is Huntington’s policy to recognize settlement gains and losses as incurred. Assuming no cash contributions are made to the Plan during 2017, Management expects net periodic pension benefit, excluding any expense of settlements, to approximate $14 million for 2017. The post-retirement medical and life subsidy was eliminated for anyone who retires on or after March 1, 2010. As such, there were no incremental net periodic post-retirement benefits costs associated with this plan. The estimated transition obligation, prior service credit, and net actuarial loss for the plans that will be amortized from OCI into net periodic benefit cost over the next fiscal year is zero , $2 million , and a $7 million benefit, respectively. At December 31, 2016 and 2015 , The Huntington National Bank, as trustee, held all Plan assets. The Plan assets consisted of investments in a variety of corporate and government fixed income investments, money market funds, and mutual funds as follows: Fair Value (dollar amounts in thousands) 2016 2015 Cash equivalents: Federated-money market $ 16,087 2 % $ 15,590 3 % Fixed income: Corporate obligations 212,967 28 205,081 34 U.S. Government Obligations 157,764 21 64,456 11 Mutual funds-fixed income 27,851 4 32,874 6 U.S. Government Agencies 7,201 1 6,979 1 Equities: Mutual funds-equities 134,832 18 136,026 23 Common stock 144,754 19 120,046 20 Preferred stock 4,778 1 — — Exchange Traded Funds 28,101 4 6,530 1 Limited Partnerships 11,390 2 6,635 1 Fair value of plan assets $ 745,725 100 % $ 594,217 100 % Investments of the Plan are accounted for at cost on the trade date and are reported at fair value. The valuation methodologies used to measure the fair value of pension plan assets vary depending on the type of asset. For an explanation of the fair value hierarchy, refer to Note 1 “Significant Accounting Policies” under the heading “Fair Value Measurements”. At December 31, 2016 , equities and money market funds are classified as Level 1; mutual funds-fixed income, corporate obligations, U.S. government obligations, and U.S. government agencies are classified as Level 2; and limited partnerships are classified as Level 3. In general, investments of the Plan are exposed to various risks such as interest rate risk, credit risk, and overall market volatility. Due to the level of risk associated with certain investments, it is reasonably possible changes in the values of investments will occur in the near term and such changes could materially affect the amounts reported in the Plan assets. The investment objective of the Plan is to maximize the return on Plan assets over a long-time period, while meeting the Plan obligations. At December 31, 2016 , Plan assets were invested 2% in cash and cash equivalents, 44% in equity investments, and 54% in bonds, with an average duration of 14.2 years on bond investments. The estimated life of benefit obligations was 12.7 years . Although it may fluctuate with market conditions, Management has targeted a long-term allocation of Plan assets of 20% to 50% in equity investments and 80% to 50% in bond investments. The allocation of Plan assets between equity investments and fixed income investments will change from time to time with the allocation to fixed income investments increasing as the funding level increases. At December 31, 2016 , the following table shows when benefit payments were expected to be paid: (dollar amounts in thousands) Pension Benefits Post- Retirement Benefits 2017 $ 46,199 $ 923 2018 45,077 761 2019 43,720 684 2020 41,827 640 2021 41,528 606 2022 through 2026 205,278 2,482 Although not required, a cash contribution can be made to the Plan up to the maximum deductible limit in the plan year. Anticipated contributions for 2017 to the post-retirement benefit plan are zero . The 2017 healthcare cost trend rate is projected to be 6.8% for participants. This rate is assumed to decrease gradually until it reaches 4.5% in the year 2028 and remain at that level thereafter. Huntington updated the immediate healthcare cost trend rate assumption based on current market data and Huntington’s claims experience. This trend rate is expected to decline over time to a trend level consistent with medical inflation and long-term economic assumptions. Huntington also sponsors other nonqualified retirement plans, the most significant being the SERP and the SRIP. The SERP provides certain former officers and directors, and the SRIP provides certain current and former officers and directors of Huntington and its subsidiaries with defined pension benefits in excess of limits imposed by federal tax law. At December 31, 2016 and 2015 , Huntington has an accrued pension liability of $33 million and $34 million , respectively, associated with these plans. Pension expense for the plans was $1 million , $1 million , and $1 million in 2016 , 2015 , and 2014 , respectively. The following table presents the amounts recognized in the Consolidated Balance Sheets at December 31, 2016 and 2015 , for all defined benefit plans: (dollar amounts in thousands) 2016 2015 Noncurrent liabilities 169,657 192,734 The following tables present the amounts recognized in OCI as of December 31, 2016 , 2015 , and 2014 , and the changes in accumulated OCI for the years ended December 31, 2016 , 2015 , and 2014 : (dollar amounts in thousands) 2016 2015 2014 Net actuarial loss $ (217,863 ) $ (243,984 ) $ (240,197 ) Prior service cost 11,958 13,237 14,517 Defined benefit pension plans $ (205,905 ) $ (230,747 ) $ (225,680 ) 2016 (dollar amounts in thousands) Pretax Tax (expense) Benefit After-tax Balance, beginning of year $ (354,997 ) $ 124,250 $ (230,747 ) Net actuarial (loss) gain: Amounts arising during the year 37,818 (13,236 ) 24,582 Amortization included in net periodic benefit costs 2,368 (829 ) 1,539 Prior service cost: Amounts arising during the year — — — Amortization included in net periodic benefit costs (1,968 ) 689 (1,279 ) Balance, end of year $ (316,779 ) $ 110,874 $ (205,905 ) 2015 (dollar amounts in thousands) Pretax Tax (expense) Benefit After-tax Balance, beginning of year $ (347,202 ) $ 121,522 $ (225,680 ) Net actuarial (loss) gain: Amounts arising during the year (25,520 ) 8,931 (16,589 ) Amortization included in net periodic benefit costs 19,693 (6,892 ) 12,801 Prior service cost: Amounts arising during the year — — — Amortization included in net periodic benefit costs (1,968 ) 689 (1,279 ) Balance, end of year $ (354,997 ) $ 124,250 $ (230,747 ) 2014 (dollar amounts in thousands) Pretax Tax (expense) Benefit After-tax Balance, beginning of year $ (240,345 ) $ 84,122 $ (156,223 ) Net actuarial (loss) gain: Amounts arising during the year (133,085 ) 46,580 (86,505 ) Amortization included in net periodic benefit costs 19,056 (6,670 ) 12,386 Prior service cost: Amounts arising during the year 8,781 (3,073 ) 5,708 Amortization included in net periodic benefit costs (1,609 ) 563 (1,046 ) Balance, end of year $ (347,202 ) $ 121,522 $ (225,680 ) Huntington has a defined contribution plan that is available to eligible employees. Huntington matches participant contributions, up to the first 4% of base pay contributed to the Plan. For 2015 and 2016, a discretionary profit-sharing contribution equal to 1% of eligible participants’ annual base pay was awarded. The following table shows the costs of providing the defined contribution plan: Year ended December 31, (dollar amounts in thousands) 2016 2015 2014 Defined contribution plan $ 36,107 $ 31,896 $ 31,110 The following table shows the number of shares, market value, and dividends received on shares of Huntington stock held by the defined contribution plan: December 31, (dollar amounts in thousands, except share amounts) 2016 2015 Shares in Huntington common stock 11,748,379 13,076,164 Market value of Huntington common stock $ 162,245 $ 144,622 Dividends received on shares of Huntington stock 3,692 3,076 FirstMerit Benefit Plans As part of the FirstMerit acquisition, Huntington agreed to assume and honor all FirstMerit benefit plans. The FirstMerit Pension Plan was frozen for nonvested employees and closed to new entrants after December 31, 2006. Effective December 31, 2012, the FirstMerit Pension Plan was frozen for vested employees. At the time of acquisition, the benefit obligation was $330 million and the fair value of assets was $280 million . In addition, FirstMerit had a post retirement benefit plan which provided medical and life insurance for retired employees. At the time of acquisition, the benefit obligation was $7 million . The following table shows the weighted-average assumptions used to determine the benefit obligation at December 31, 2016 , and the net periodic benefit cost for the year then ended: Pension Benefits Post-Retirement Benefits 2016 2016 Weighted-average assumptions used to determine benefit obligations Discount rate 4.49 % 4.16 % Rate of compensation increase N/A N/A Weighted-average assumptions used to determine net periodic benefit cost Discount rate 4.12 % 3.57 % Expected return on plan assets 6.00 N/A Rate of compensation increase N/A N/A N/A—Not Applicable The following table reconciles the beginning and ending balances of the benefit obligation of FirstMerit's pension and post-retirement benefit plan with the amounts recognized in the consolidated balance sheet at the December 31, 2016 : Pension Benefits Post-Retirement Benefits (dollar amounts in thousands) 2016 2016 Projected benefit obligation at beginning of measurement year (1) $ 329,679 $ 7,196 Changes due to: Service cost 954 49 Interest cost 3,218 70 Benefits paid (2,463 ) (250 ) Settlements (180,885 ) — Actuarial assumptions and gains and losses (35,840 ) (703 ) Total changes (215,016 ) (834 ) Projected benefit obligation at end of measurement year $ 114,663 $ 6,362 (1) The beginning measurement period started August 15, 2016. During the 2016 fourth quarter, Huntington completed two settlements of the FirstMerit pension benefit obligation totaling $181 million. The settlements triggered settlement accounting, requiring a remeasurement of the plan as of November 30, 2016, and the recognition in the income statement of previously deferred amounts in OCI. The result was a gain of approximately $18 million and is reflected in personnel costs. The following table reconciles the beginning and ending balances of the fair value of FirstMerit's plan assets at the December 31, 2016 measurement date: Pension Benefits (dollar amounts in thousands) 2016 Fair value of plan assets at beginning of measurement year (1) $ 280,217 Changes due to: Actual return on plan assets (3,068 ) Settlements (179,114 ) Benefits paid (2,463 ) Total changes (184,645 ) Fair value of plan assets at end of measurement year $ 95,572 (1) The beginning measurement period started August 15, 2016. FirstMerit’s accumulated benefit obligation under the pension plan was $115 million at December 31, 2016. As of December 31, 2016, the difference between the accumulated benefit obligation and the fair value was $19 million and is recorded in noncurrent liabilities. The following table shows the components of FirstMerit's net periodic benefit costs recognized in the year ended December 31, 2016 : Pension Benefits Post-Retirement Benefits (dollar amounts in thousands) 2016 2016 Service cost $ 954 $ 49 Interest cost 3,218 70 Expected return on plan assets (4,893 ) — Amortization of (gain) / loss (20 ) — Settlements (17,605 ) — Benefit costs $ (18,346 ) $ 119 Included in FirstMerit's benefit costs is $1 million of plan expenses that were recognized in the year ended December 31, 2016 . It is Huntington’s policy to recognize settlement gains and losses as incurred. Assuming no cash contributions are made to the Plan during 2017, Management expects net periodic pension benefit, excluding any expense of settlements, to approximate $1 million in 2017. At December 31, 2016 the fair value of FirstMerit plan assets are as follows: Fair Value (dollar amounts in thousands) 2016 Cash equivalents: Federated-money market $ 5,431 6 % Fixed income: Corporate obligations 5,375 6 U.S. Government Obligations 6,466 7 Mutual funds-fixed income 23,317 24 U.S. Government Agencies 2,801 3 Equities: Mutual funds-equities 15,395 16 Common stock 36,787 38 Fair value of plan assets $ 95,572 100 % At December 31, 2016 , the following table shows when benefit payments were expected to be paid: (dollar amounts in thousands) Pension Benefits Post- Retirement Benefits 2017 $ 8,673 $ 904 2018 4,471 841 2019 4,811 220 2020 4,926 221 2021 4,945 222 2022 through 2026 26,853 1,150 |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES The Company and its subsidiaries file income tax returns in the U.S. federal jurisdiction and various state, city, and foreign jurisdictions. Federal income tax audits have been completed through 2009. The IRS is currently examining our 2010 and 2011 consolidated federal income tax returns. Various state and other jurisdictions remain open to examination, including Ohio, Kentucky, Indiana, Michigan, Pennsylvania, West Virginia, Wisconsin, and Illinois. Huntington accounts for uncertainties in income taxes in accordance with ASC 740, Income Taxes. At December 31, 2016 , Huntington had gross unrecognized tax benefits of $24 million in income tax liability related to uncertain tax positions. Due to the complexities of some of these uncertainties, the ultimate resolution may result in a payment that is materially different from the current estimate of the tax liabilities. Huntington does not anticipate the total amount of gross unrecognized tax benefits to significantly change within the next 12 months. The following table provides a reconciliation of the beginning and ending amounts of gross unrecognized tax benefits: (dollar amounts in thousands) 2016 2015 Unrecognized tax benefits at beginning of year $ 23,104 $ 1,172 Gross increases for tax positions taken during current period 657 23,104 Gross increases for tax positions taken during prior years — — Gross decreases for tax positions taken during prior years — (1,172 ) Unrecognized tax benefits at end of year $ 23,761 $ 23,104 Any interest and penalties on income tax assessments or income tax refunds are recognized in the Consolidated Statements of Income as a component of provision for income taxes. Huntington recognized, no interest expense, $0.1 million of interest benefit, and $0.1 million of interest expense for the years ended December 31, 2016 , 2015 and 2014 , respectively. Total interest accrued was $0.1 million and $0.1 million at December 31, 2016 and 2015 , respectively. All of the gross unrecognized tax benefits would impact the Company’s effective tax rate if recognized. The following is a summary of the provision (benefit) for income taxes: Year Ended December 31, (dollar amounts in thousands) 2016 2015 2014 Current tax provision (benefit) Federal $ 39,738 $ 146,195 $ 186,436 State 3,456 5,677 (1,017 ) Total current tax provision (benefit) 43,194 151,872 185,419 Deferred tax provision (benefit) Federal 160,610 66,823 41,167 State 4,137 1,953 (5,993 ) Total deferred tax provision (benefit) 164,747 68,776 35,174 Provision for income taxes $ 207,941 $ 220,648 $ 220,593 The following is a reconciliation for provision for income taxes: Year Ended December 31, (dollar amounts in thousands) 2016 2015 2014 Provision for income taxes computed at the statutory rate $ 321,925 $ 319,762 $ 298,545 Increases (decreases): Tax-exempt income (27,453 ) (20,839 ) (17,971 ) Tax-exempt bank owned life insurance income (20,149 ) (18,340 ) (19,967 ) General business credits (64,151 ) (47,894 ) (46,047 ) State deferred tax asset valuation allowance adjustment, net — — (7,430 ) Capital loss (45,500 ) (46,288 ) (26,948 ) Affordable housing investment amortization, net of tax benefits 36,848 31,741 33,752 State income taxes, net 4,936 4,960 2,873 Other 1,485 (2,454 ) 3,786 Provision for income taxes $ 207,941 $ 220,648 $ 220,593 The significant components of deferred tax assets and liabilities at December 31, were as follows: At December 31, (dollar amounts in thousands) 2016 2015 Deferred tax assets: Allowances for credit losses $ 254,977 $ 238,415 Fair value adjustments 216,768 121,642 Net operating and other loss carryforward 140,842 61,492 Tax credit carryforward 76,328 1,823 Accrued expense/prepaid 64,380 44,733 Pension and other employee benefits 34,921 2,405 Partnership investments 22,514 21,614 Market discount 8,295 11,781 Purchase accounting adjustments — 41,917 Other 10,506 11,645 Total deferred tax assets 829,531 557,467 Deferred tax liabilities: Lease financing 325,091 261,078 Loan origination costs 137,577 114,488 Purchase accounting adjustments 74,371 6,944 Securities adjustments 55,786 19,952 Operating assets 54,372 46,685 Mortgage servicing rights 51,440 48,514 Pension and other employee benefits — — Other 8,796 5,463 Total deferred tax liabilities 707,433 503,124 Net deferred tax asset before valuation allowance 122,098 54,343 Valuation allowance (5,003 ) (3,620 ) Net deferred tax asset $ 117,095 $ 50,723 At December 31, 2016 , Huntington’s net deferred tax asset related to loss and other carryforwards was $217 million . This was comprised of federal net operating loss carryforwards of $97 million , which will begin expiring in 2023 , $44 million of state net operating loss carryforwards, which will begin expiring in 2017 , an alternative minimum tax credit carryforward of $73 million , which may be carried forward indefinitely, and a general business credit carryforward of $3 million , which will begin expiring in 2030 . In prior periods, Huntington established a valuation allowance against deferred tax assets for state deferred tax assets, and state net operating loss carryforwards. The state valuation allowance was based on the uncertainty of forecasted state taxable income expected in applicable jurisdictions in order to utilize the state deferred tax assets and state net operating loss carryforwards. Based on current analysis of both positive and negative evidence and projected forecasted taxable income within applicable jurisdictions, the Company believes that it is more likely than not, portions of the state deferred tax assets and state net operating loss carryforwards will be realized. As a result of this analysis, the state valuation allowance was $5 million at December 31, 2016 compared to $4 million at December 31, 2015 . At December 31, 2016 retained earnings included approximately $12 million of base year reserves of acquired thrift institutions, for which no deferred federal income tax liability has been recognized. Under current law, if these bad debt reserves are used for purposes other than to absorb bad debt losses, they will be subject to federal income tax at the current corporate rate. The amount of unrecognized deferred tax liability relating to the cumulative bad debt deduction was approximately $4 million at December 31, 2016 . |
FAIR VALUES OF ASSETS AND LIABI
FAIR VALUES OF ASSETS AND LIABILITIES | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUES OF ASSETS AND LIABILITIES | FAIR VALUES OF ASSETS AND LIABILITIES Following is a description of the valuation methodologies used for instruments measured at fair value, as well as the general classification of such instruments pursuant to the valuation hierarchy. Loans held for sale Huntington has elected to apply the fair value option for mortgage loans originated with the intent to sell which are included in loans held for sale. Mortgage loans held for sale are classified as Level 2 and are estimated using security prices for similar product types. Loans held for investment Certain mortgage loans originated with the intent to sell have been reclassified to mortgage loans held for investment. These loans continue to be measured at fair value. The fair value is determined using fair value of similar mortgage-backed securities adjusted for loan specific variables. Huntington elected the fair value option for consumer loans with deteriorated credit quality acquired from FirstMerit in accordance with ASC 825. Management decided to elect the fair value option on these consumer loans to allow for operational efficiencies not normally associated with purchased credit impaired loans. The consumer loans are classified as Level 3. The key assumption used to determine the fair value of the consumer loans is discounted cash flows. Available-for-sale securities and trading account securities Securities accounted for at fair value include both the available-for-sale and trading portfolios. Huntington uses prices obtained from third-party pricing services and recent trades to determine the fair value of securities. AFS and trading securities are classified as Level 1 using quoted market prices (unadjusted) in active markets for identical securities that Huntington has the ability to access at the measurement date. Less than 1% of the positions in these portfolios are Level 1, and consist of U.S. Treasury securities and money market mutual funds. When quoted market prices are not available, fair values are classified as Level 2 using quoted prices for similar assets in active markets, quoted prices of identical or similar assets in markets that are not active, and inputs that are observable for the asset, either directly or indirectly, for substantially the full term of the financial instrument. 81% of the positions in these portfolios are Level 2, and consist of U.S. Government and agency debt securities, agency mortgage backed securities, asset-backed securities other than the CDO-preferred securities portfolio, certain municipal securities and other securities. For Level 2 securities management uses various methods and techniques to corroborate prices obtained from the pricing service, including references to dealer or other market quotes, and by reviewing valuations of comparable instruments. If relevant market prices are limited or unavailable, valuations may require significant management judgment or estimation to determine fair value, in which case the fair values are classified as Level 3. 19% of our positions are Level 3, and consist of CDO-preferred securities and municipal securities. A significant change in the unobservable inputs for these securities may result in a significant change in the ending fair value measurement of these securities. The municipal securities portion that is classified as Level 3 uses significant estimates to determine the fair value of these securities which results in greater subjectivity. The fair value is determined by utilizing third-party valuation services. The third-party service provider reviews credit worthiness, prevailing market rates, analysis of similar securities, and projected cash flows. The third-party service provider also incorporates industry and general economic conditions into their analysis. Huntington evaluates the analysis provided for reasonableness. The CDO-preferred securities portfolios are classified as Level 3 and as such use significant estimates to determine the fair value of these securities which results in greater subjectivity. The CDO-preferred securities portfolio are subjected to a quarterly review of the projected cash flows. These reviews are supported with analysis from independent third parties, and are used as a basis for impairment analysis. CDO-preferred securities are CDOs backed by a pool of debt securities issued by financial institutions. The collateral generally consists of trust-preferred securities and subordinated debt securities issued by banks, bank holding companies, and insurance companies. A cash flow analysis is used to estimate fair values and assess impairment for each security within this portfolio. We engage a third-party pricing specialist with direct industry experience in CDO-preferred securities valuations to provide assistance in estimating the fair value and expected cash flows for each security in this portfolio. The PD of each issuer and the market discount rate are the most significant inputs in determining fair value. The Company evaluates the PD assumptions provided by the third-party pricing specialist by comparing the current PD to the assumptions used the previous quarter, actual defaults and deferrals in the current period, and trend data on certain financial ratios of the issuers. Huntington also evaluates the assumptions related to discount rates. Relying on cash flows is necessary because there was a lack of observable transactions in the market and many of the original sponsors or dealers for these securities are no longer able to provide a fair value. MSRs MSRs do not trade in an active market with readily observable prices. Accordingly, the fair value of these assets is classified as Level 3. Huntington determines the fair value of MSRs using an income approach model based upon the month-end interest rate curve and prepayment assumptions. The model utilizes assumptions to estimate future net servicing income cash flows, including estimates of time decay, payoffs, and changes in valuation inputs and assumptions. Servicing brokers and other sources of information (e.g. discussion with other mortgage servicers and industry surveys) are used to obtain information on market practice and assumptions. On at least a quarterly basis, third-party marks are obtained from at least one servicing broker. Huntington reviews the valuation assumptions against this market data for reasonableness and adjusts the assumptions if deemed appropriate. Any recommended change in assumptions and/or inputs are presented for review to the Mortgage Price Risk Subcommittee for final approval. Derivative assets and liabilities Derivatives classified as Level 2 consist of foreign exchange and commodity contracts, which are valued using exchange traded swaps and futures market data. In addition, Level 2 includes interest rate contracts, which are valued using a discounted cash flow method that incorporates current market interest rates. Level 2 also includes exchange traded options and forward commitments to deliver mortgage-backed securities, which are valued using quoted prices. Derivatives classified as Level 3 consist of interest rate lock agreements related to mortgage loan commitments. The determination of fair value includes assumptions related to the likelihood that a commitment will ultimately result in a closed loan, which is a significant unobservable assumption. A significant increase or decrease in the external market price would result in a significantly higher or lower fair value measurement. Short-term borrowings Short-term borrowings classified as Level 2 consist primarily of U.S. Treasury bond securities sold under agreement to repurchase. These securities are borrowed from other institutions and must be repaid by purchasing the securities in the open market. Assets and Liabilities measured at fair value on a recurring basis Assets and liabilities measured at fair value on a recurring basis at December 31, 2016 and 2015 are summarized below: Fair Value Measurements at Reporting Date Using Netting Adjustments (1) December 31, 2016 (dollar amounts in thousands) Level 1 Level 2 Level 3 Assets Loans held for sale $ — $ 438,224 $ — $ — $ 438,224 Loans held for investment — 34,439 47,880 — 82,319 Trading account securities: Municipal securities — 1,148 — — 1,148 Other securities 132,147 — — — 132,147 132,147 1,148 — — 133,295 Available-for-sale and other securities: U.S. Treasury securities 5,497 — — — 5,497 Federal agencies: Mortgage-backed — 10,673,342 — — 10,673,342 Federal agencies: Other agencies — 73,542 — — 73,542 Municipal securities — 452,013 2,798,044 — 3,250,057 Asset-backed securities — 717,478 76,003 — 793,481 Corporate debt — 198,683 — — 198,683 Other securities 16,588 3,943 — — 20,531 22,085 12,119,001 2,874,047 — 15,015,133 MSRs — — 13,747 — 13,747 Derivative assets — 414,412 5,747 (181,940 ) 238,219 Liabilities Derivative liabilities — 362,777 7,870 (272,361 ) 98,286 Short-term borrowings 474 — — — 474 Fair Value Measurements at Reporting Date Using Netting Adjustments (1) December 31, 2015 (dollar amounts in thousands) Level 1 Level 2 Level 3 Assets Loans held for sale $ — $ 337,577 $ — $ — $ 337,577 Loans held for investment — 32,889 1,748 — 34,637 Trading account securities: Municipal securities — 4,159 — — 4,159 Other securities 32,475 363 — — 32,838 32,475 4,522 — — 36,997 Available-for-sale and other securities: U.S. Treasury securities 5,472 — — — 5,472 Federal agencies: Mortgage-backed — 4,521,688 — — 4,521,688 Federal agencies: Other agencies — 115,913 — — 115,913 Municipal securities — 360,845 2,095,551 — 2,456,396 Asset-backed securities — 761,076 100,337 — 861,413 Corporate debt — 466,477 — — 466,477 Other securities 11,397 3,899 — — 15,296 16,869 6,229,898 2,195,888 — 8,442,655 MSRs — — 17,585 — 17,585 Derivative assets — 429,448 6,721 (161,297 ) 274,872 Liabilities Derivative liabilities — 287,994 665 (144,309 ) 144,350 Short-term borrowings — 1,770 — — 1,770 (1) Amounts represent the impact of legally enforceable master netting agreements that allow the Company to settle positive and negative positions and cash collateral held or placed with the same counterparties. The tables below present a rollforward of the balance sheet amounts for the years ended December 31, 2016 , 2015 , and 2014 for financial instruments measured on a recurring basis and classified as Level 3. The classification of an item as Level 3 is based on the significance of the unobservable inputs to the overall fair value measurement. However, Level 3 measurements may also include observable components of value that can be validated externally. Accordingly, the gains and losses in the table below include changes in fair value due in part to observable factors that are part of the valuation methodology. Level 3 Fair Value Measurements Available-for-sale securities (dollar amounts in thousands) MSRs Derivative instruments Municipal securities Asset- backed securities Loans held for investment Opening balance $ 17,585 $ 6,056 $ 2,095,551 $ 100,337 $ 1,748 Transfers into Level 3 — — — — — Transfers out of Level 3 (1) — (7,251 ) — — — Total gains/losses for the period: Included in earnings (3,838 ) (928 ) 7,049 (2,593 ) (2,353 ) Included in OCI — — (28,270 ) 6,448 — Purchases/originations — — 1,399,394 — 56,469 Sales — — (37,444 ) (25,196 ) — Repayments — — — — (7,984 ) Settlements — — (638,236 ) (2,993 ) — Closing balance $ 13,747 $ (2,123 ) $ 2,798,044 $ 76,003 $ 47,880 Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at end of the reporting date $ (3,838 ) $ (928 ) $ (33,415 ) $ 3,722 $ — (1) Transfers out of Level 3 represent the settlement value of the derivative instruments (i.e. interest rate lock agreements) that is transferred to loans held for sale, which is classified as Level 2. Level 3 Fair Value Measurements Available-for-sale securities (dollar amounts in thousands) MSRs Derivative instruments Municipal securities Private- label CMO Asset- backed securities Loans held for investment Opening balance $ 22,786 $ 3,360 $ 1,417,593 $ 30,464 $ 82,738 $ 10,590 Transfers into Level 3 — — — — — — Transfers out of Level 3 — (2,793 ) — — — — Total gains/losses for the period: Included in earnings (5,201 ) 5,489 149 47 (2,400 ) (497 ) Included in OCI — — (3,652 ) 1,832 24,802 — Purchases/originations — — 1,002,153 — — — Sales — — (9,656 ) (30,077 ) — — Repayments — — — — — (8,345 ) Settlements — — (311,036 ) (2,266 ) (4,803 ) — Closing balance $ 17,585 $ 6,056 $ 2,095,551 $ — $ 100,337 $ 1,748 Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at end of the reporting date $ (5,201 ) $ 5,489 $ — $ — $ (2,440 ) $ (497 ) Level 3 Fair Value Measurements Available-for-sale securities (dollar amounts in thousands) MSRs Derivative instruments Municipal securities Private label CMO Asset- backed securities Loans held for investment Balance, beginning of year $ 34,236 $ 2,390 $ 654,537 $ 32,140 $ 107,419 $ 52,286 Transfers into Level 3 — — — — — — Transfers out of Level 3 — — — — — — Total gains/losses for the period: Included in earnings (11,450 ) 3,047 — 36 226 (918 ) Included in OCI — — 14,776 452 21,839 — Purchases/originations — — 1,038,348 — — — Sales — — — — (22,870 ) — Repayments — — — — — (40,778 ) Settlements — (2,077 ) (290,068 ) (2,164 ) (23,876 ) — Balance, end of year $ 22,786 $ 3,360 $ 1,417,593 $ 30,464 $ 82,738 $ 10,590 Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at end of the reporting date $ (11,450 ) $ 3,047 $ 14,776 $ 452 $ 21,137 $ (1,624 ) The tables below summarize the classification of gains and losses due to changes in fair value, recorded in earnings for Level 3 assets and liabilities for the years ended December 31, 2016 , 2015 , and 2014 : Level 3 Fair Value Measurements Available-for-sale securities (dollar amounts in thousands) MSRs Derivative instruments Municipal securities Asset- backed securities Loans held for investment Classification of gains and losses in earnings: Mortgage banking income $ (3,838 ) $ (928 ) $ — $ — $ — Securities gains (losses) — — 788 (2,598 ) — Interest and fee income — — — — — Noninterest income — — 6,261 5 (2,353 ) Total $ (3,838 ) $ (928 ) $ 7,049 $ (2,593 ) $ (2,353 ) Level 3 Fair Value Measurements Available-for-sale securities (dollar amounts in thousands) MSRs Derivative instruments Municipal securities Private- label CMO Asset- backed securities Loans held for investment Classification of gains and losses in earnings: Mortgage banking income $ (5,201 ) $ 5,489 $ — $ — $ — $ — Securities gains (losses) — — 149 — (2,440 ) — Interest and fee income — — — 47 40 (497 ) Noninterest income — — — — — — Total $ (5,201 ) $ 5,489 $ 149 $ 47 $ (2,400 ) $ (497 ) Level 3 Fair Value Measurements Available-for-sale securities (dollar amounts in thousands) MSRs Derivative instruments Municipal securities Private label CMO Asset- backed securities Loans held for investment Classification of gains and losses in earnings: Mortgage banking income (loss) $ (11,450 ) $ 3,047 $ — $ — $ — $ — Securities gains (losses) — — — — 170 — Interest and fee income — — — 36 56 (1,032 ) Noninterest income — — — — — 114 Total $ (11,450 ) $ 3,047 $ — $ 36 $ 226 $ (918 ) Assets and liabilities under the fair value option The following table presents the fair value and aggregate principal balance of certain assets and liabilities under the fair value option: December 31, 2016 Total Loans Loans that are 90 or more days past due (dollar amounts in thousands) Fair value Aggregate Difference Fair value Aggregate Difference Assets Loans held for sale $ 438,224 $ 433,760 $ 4,464 $ — $ — $ — Loans held for investment 82,319 91,998 (9,679 ) 8,408 11,082 (2,674 ) December 31, 2015 Total Loans Loans that are 90 or more days past due (dollar amounts in thousands) Fair value Aggregate Difference Fair value Aggregate Difference Assets Loans held for sale $ 337,577 $ 326,802 $ 10,775 $ 1,268 $ 1,294 $ (26 ) Loans held for investment 34,637 35,385 $ (748 ) 428 497 $ (69 ) The following tables present the net gains (losses) from fair value changes, including net gains (losses) associated with instrument specific credit risk for the years ended December 31, 2016 , 2015 , and 2014 : Net gains (losses) from fair value changes Year ended December 31, (dollar amounts in thousands) 2016 2015 2014 Assets Loans held for sale $ 6,741 $ (2,342 ) $ (1,978 ) Loans held for investment — (568 ) (918 ) Gains (losses) included in fair value changes associated with instrument specific credit risk Year ended December 31, (dollar amounts in thousands) 2016 2015 2014 Assets Loans held for investment $ 436 $ 199 $ 911 Assets and Liabilities measured at fair value on a nonrecurring basis Certain assets and liabilities may be required to be measured at fair value on a nonrecurring basis in periods subsequent to their initial recognition. These assets and liabilities are not measured at fair value on an ongoing basis; however, they are subject to fair value adjustments in certain circumstances, such as when there is evidence of impairment. For the year ended December 31, 2016 , assets measured at fair value on a nonrecurring basis were as follows: Fair Value Measurements Using (dollar amounts in thousands) Fair Value Quoted Prices In Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Other Unobservable Inputs (Level 3) Total MSRs $ 171,309 $ — $ — $ 171,309 $ 1,918 Impaired loans 53,818 — — 53,818 11,412 Other real estate owned 50,930 — — 50,930 (620 ) MSRs accounted for under the amortization method are subject to nonrecurring fair value measurement when the fair value is lower than the carrying amount. Periodically, Huntington records nonrecurring adjustments of collateral-dependent loans measured for impairment when establishing the ACL. Such amounts are generally based on the fair value of the underlying collateral supporting the loan. Appraisals are generally obtained to support the fair value of the collateral and incorporate measures such as recent sales prices for comparable properties and cost of construction. In cases where the carrying value exceeds the fair value of the collateral less cost to sell, an impairment charge is recognized. Other real estate owned properties are included in accrued income and other assets and valued based on appraisals and third-party price opinions, less estimated selling costs. The appraisals supporting the fair value of the collateral to recognize loan impairment or unrealized loss on other real estate owned properties may not have been obtained as of December 31, 2016 . Significant unobservable inputs for assets and liabilities measured at fair value on a recurring and nonrecurring basis The table below presents quantitative information about the significant unobservable inputs for assets and liabilities measured at fair value on a recurring and nonrecurring basis at December 31, 2016 : Quantitative Information about Level 3 Fair Value Measurements at December 31, 2016 (dollar amounts in thousands) Fair Value Valuation Technique Significant Unobservable Input Range (Weighted Average) Measured at fair value on a recurring basis: MSRs $ 13,747 Discounted cash flow Constant prepayment rate 5.63% - 34.4% (10.9%) Spread over forward interest rate 3.0% - 9.2% (5.4%) Derivative assets 5,747 Consensus Pricing Net market price -7.1% - 25.4% (1.1%) Derivative liabilities 7,870 Estimated Pull through % 8.1% - 99.8% (76.9%) Municipal securities 2,798,044 Discounted cash flow Discount rate 0.0% - 10.0% (3.6%) Cumulative default 0.3% - 37.8% (4.0%) Loss given default 5.0% - 80.0% (24.1%) Asset-backed securities 76,003 Discounted cash flow Discount rate 5.0% - 12.0% (6.3%) Cumulative prepayment rate 0.0% - 73% (6.5%) Cumulative default 1.1% - 100% (11.2%) Loss given default 85% - 100% (96.3%) Cure given deferral 0.0% - 75.0% (36.2%) Loans held for investment 47,880 Discounted cash flow Discount rate 5.4% - 16.2% (5.6%) Measured at fair value on a nonrecurring basis: MSRs 171,309 Discounted cash flow Constant prepayment rate 5.57% - 30.4% (7.8%) Spread over forward interest rate 4.2% - 20.0% (11.7%) Impaired loans 53,818 Appraisal value NA NA Other real estate owned 50,930 Appraisal value NA NA The following provides a general description of the impact of a change in an unobservable input on the fair value measurement and the interrelationship between unobservable inputs, where relevant/significant. Interrelationships may also exist between observable and unobservable inputs. Such relationships have not been included in the discussion below. A significant change in the unobservable inputs may result in a significant change in the ending fair value measurement of Level 3 instruments. In general, prepayment rates increase when market interest rates decline and decrease when market interest rates rise and higher prepayment rates generally result in lower fair values for MSR assets, Asset-backed securities, and Automobile loans. Credit loss estimates, such as probability of default, constant default, cumulative default, loss given default, cure given deferral, and loss severity, are driven by the ability of the borrowers to pay their loans and the value of the underlying collateral and are impacted by changes in macroeconomic conditions, typically increasing when economic conditions worsen and decreasing when conditions improve. An increase in the estimated prepayment rate typically results in a decrease in estimated credit losses and vice versa. Higher credit loss estimates generally result in lower fair values. Credit spreads generally increase when liquidity risks and market volatility increase and decrease when liquidity conditions and market volatility improve. Discount rates and spread over forward interest rate swap rates typically increase when market interest rates increase and/or credit and liquidity risks increase and decrease when market interest rates decline and/or credit and liquidity conditions improve. Higher discount rates and credit spreads generally result in lower fair market values. Net market price and pull through percentages generally increase when market interest rates increase and decline when market interest rates decline. Higher net market price and pull through percentages generally result in higher fair values. Fair values of financial instruments The following table provides the carrying amounts and estimated fair values of Huntington’s financial instruments that are carried either at fair value or cost at December 31, 2016 and December 31, 2015 : December 31, 2016 December 31, 2015 Carrying Fair Carrying Fair (dollar amounts in thousands) Amount Value Amount Value Financial Assets: Cash and short-term assets $ 1,443,037 $ 1,443,037 $ 898,994 $ 898,994 Trading account securities 133,295 133,295 36,997 36,997 Loans held for sale 512,951 515,640 474,621 484,511 Available-for-sale and other securities 15,562,837 15,562,837 8,775,441 8,775,441 Held-to-maturity securities 7,806,939 7,787,268 6,159,590 6,135,458 Net loans and direct financing leases 66,323,583 66,294,639 49,743,256 48,024,998 Derivatives 238,219 238,219 274,872 274,872 Financial Liabilities: Deposits 75,607,717 76,161,091 55,294,979 55,299,435 Short-term borrowings 3,692,654 3,692,654 615,279 615,279 Long-term debt 8,309,159 8,387,444 7,041,364 7,016,789 Derivatives 98,286 98,286 144,350 144,350 The following table presents the level in the fair value hierarchy for the estimated fair values of only Huntington’s financial instruments that are not already on the Consolidated Balance Sheets at fair value at December 31, 2016 and December 31, 2015 : Estimated Fair Value Measurements at Reporting Date Using December 31, 2016 (dollar amounts in thousands) Level 1 Level 2 Level 3 Financial Assets Held-to-maturity securities $ — $ 7,787,268 $ — $ 7,787,268 Net loans and direct financing leases — — 66,294,639 66,294,639 Financial Liabilities Deposits — 72,319,328 3,841,763 76,161,091 Short-term borrowings 474 — 3,692,180 3,692,654 Long-term debt — 7,980,176 407,268 8,387,444 Estimated Fair Value Measurements at Reporting Date Using December 31, 2015 (dollar amounts in thousands) Level 1 Level 2 Level 3 Financial Assets Held-to-maturity securities $ — $ 6,135,458 $ — $ 6,135,458 Net loans and direct financing leases — — 48,024,998 48,024,998 Financial Liabilities Deposits — 51,869,105 3,430,330 55,299,435 Short-term borrowings — 1,770 613,509 615,279 Long-term debt — — 7,016,789 7,016,789 The short-term nature of certain assets and liabilities result in their carrying value approximating fair value. These include trading account securities, customers’ acceptance liabilities, short-term borrowings, bank acceptances outstanding, FHLB advances, and cash and short-term assets, which include cash and due from banks, interest-bearing deposits in banks, and federal funds sold and securities purchased under resale agreements. Loan commitments and letters-of-credit generally have short-term, variable-rate features and contain clauses that limit Huntington’s exposure to changes in customer credit quality. Accordingly, their carrying values, which are immaterial at the respective balance sheet dates, are reasonable estimates of fair value. Certain assets, the most significant being operating lease assets, bank owned life insurance, and premises and equipment, do not meet the definition of a financial instrument and are excluded from this disclosure. Similarly, mortgage and nonmortgage servicing rights, deposit base, and other customer relationship intangibles are not considered financial instruments and are not included above. Accordingly, this fair value information is not intended to, and does not, represent Huntington’s underlying value. Many of the assets and liabilities subject to the disclosure requirements are not actively traded, requiring fair values to be estimated by Management. These estimations necessarily involve the use of judgment about a wide variety of factors, including but not limited to, relevancy of market prices of comparable instruments, expected future cash flows, and appropriate discount rates. The following methods and assumptions were used by Huntington to estimate the fair value of the remaining classes of financial instruments: Held-to-maturity securities Fair values are determined by using models that are based on security-specific details, as well as relevant industry and economic factors. The most significant of these inputs are quoted market prices, and interest rate spreads on relevant benchmark securities. Loans and Direct Financing Leases Variable-rate loans that reprice frequently are based on carrying amounts, as adjusted for estimated credit losses. The fair values for other loans and leases are estimated using discounted cash flow analyses and employ interest rates currently being offered for loans and leases with similar terms. The rates take into account the position of the yield curve, as well as an adjustment for prepayment risk, operating costs, and profit. This value is also reduced by an estimate of expected losses and the credit risk associated in the loan and lease portfolio. The valuation of the loan portfolio reflected discounts that Huntington believed are consistent with transactions occurring in the marketplace. Deposits Demand deposits, savings accounts, and money market deposits are, by definition, equal to the amount payable on demand. The fair values of fixed-rate time deposits are estimated by discounting cash flows using interest rates currently being offered on certificates with similar maturities. Debt Long-term debt is based upon quoted market prices, which are inclusive of Huntington’s credit risk. In the absence of quoted market prices, discounted cash flows using market rates for similar debt with the same maturities are used in the determination of fair value. |
DERIVATIVE FINANCIAL INSTRUMENT
DERIVATIVE FINANCIAL INSTRUMENTS | 12 Months Ended |
Dec. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE FINANCIAL INSTRUMENTS | DERIVATIVE FINANCIAL INSTRUMENTS Derivative financial instruments are recorded in the Consolidated Balance Sheets as either an asset or a liability (in accrued income and other assets or accrued expenses and other liabilities, respectively) and measured at fair value. Derivative financial instruments can be designated as accounting hedges under GAAP. Designating a derivative as an accounting hedge allows Huntington to recognize gains and losses, less any ineffectiveness, in the income statement within the same period that the hedged item affects earnings. Gains and losses on derivatives that are not designated to an effective hedge relationship under GAAP immediately impact earnings within the period they occur. Derivatives used in Asset and Liability Management Activities Huntington engages in balance sheet hedging activity, principally for asset liability management purposes, to convert fixed rate assets or liabilities into floating rate or vice versa. Balance sheet hedging activity is arranged to receive hedge accounting treatment and is classified as either fair value or cash flow hedges. Fair value hedges are purchased to convert deposits and subordinated and other long-term debt from fixed-rate obligations to floating rate. Cash flow hedges are also used to convert floating rate loans made to customers into fixed rate loans. The following table presents the gross notional values of derivatives used in Huntington’s asset and liability management activities at December 31, 2016 , identified by the underlying interest rate-sensitive instruments: (dollar amounts in thousands) Fair Value Hedges Cash Flow Hedges Total Instruments associated with: Loans $ — $ 3,325,000 $ 3,325,000 Deposits — — — Subordinated notes 950,000 — 950,000 Long-term debt 6,525,000 — 6,525,000 Total notional value at December 31, 2016 $ 7,475,000 $ 3,325,000 $ 10,800,000 The following table presents additional information about the interest rate swaps used in Huntington’s asset and liability management activities at December 31, 2016 : Weighted-Average (dollar amounts in thousands) Notional Value Average Maturity (years) Fair Value Receive Pay Asset conversion swaps Receive fixed—generic $ 3,325,000 0.6 $ (2,060 ) 1.04 % 0.91 % Liability conversion swaps Receive fixed—generic 7,475,000 3.1 (51,496 ) 1.49 0.88 Total swap portfolio at December 31, 2016 $ 10,800,000 2.3 $ (53,556 ) 1.35 % 0.89 % These derivative financial instruments were entered into for the purpose of managing the interest rate risk of assets and liabilities. Consequently, net amounts receivable or payable on contracts hedging either interest earning assets or interest bearing liabilities were accrued as an adjustment to either interest income or interest expense. The net amounts resulted in an increase to net interest income of $72 million , $108 million , and $98 million for the years ended December 31, 2016 , 2015 , and 2014 , respectively. In connection with the sale of Huntington’s Class B Visa ® shares, Huntington entered into a swap agreement with the purchaser of the shares. The swap agreement adjusts for dilution in the conversion ratio of Class B shares resulting from the Visa ® litigation. At December 31, 2016 , the fair value of the swap liability of $6 million is an estimate of the exposure liability based upon Huntington’s assessment of the potential Visa ® litigation losses. The following table presents the fair values at December 31, 2016 and 2015 of Huntington’s derivatives that are designated and not designated as hedging instruments. Amounts in the table below are presented gross without the impact of any net collateral arrangements: Asset derivatives included in accrued income and other assets: (dollar amounts in thousands) December 31, 2016 December 31, 2015 Interest rate contracts designated as hedging instruments $ 46,440 $ 80,513 Interest rate contracts not designated as hedging instruments 213,587 190,846 Foreign exchange contracts not designated as hedging instruments 23,265 37,727 Commodity contracts not designated as hedging instruments 108,026 117,894 Equity contracts not designated as hedging instruments 9,775 — Total contracts $ 401,093 $ 426,980 Liability derivatives included in accrued expenses and other liabilities: (dollar amounts in thousands) December 31, 2016 December 31, 2015 Interest rate contracts designated as hedging instruments $ 99,996 $ 15,215 Interest rate contracts not designated as hedging instruments 143,976 121,815 Foreign exchange contracts not designated as hedging instruments 19,576 35,283 Commodity contracts not designated as hedging instruments 104,328 114,887 Equity contracts not designated as hedging instruments — — Total contracts $ 367,876 $ 287,200 The changes in fair value of the fair value hedges are, to the extent that the hedging relationship is effective, recorded through earnings and offset against changes in the fair value of the hedged item. The following table presents the change in fair value for derivatives designated as fair value hedges as well as the offsetting change in fair value on the hedged item: Year ended December 31, (dollar amounts in thousands) 2016 2015 2014 Interest rate contracts Change in fair value of interest rate swaps hedging deposits (1) $ (82 ) $ (996 ) $ (1,045 ) Change in fair value of hedged deposits (1) 72 992 1,025 Change in fair value of interest rate swaps hedging subordinated notes (2) (47,852 ) (8,237 ) 476 Change in fair value of hedged subordinated notes (2) 45,019 8,237 (476 ) Change in fair value of interest rate swaps hedging long-term debt (2) (74,481 ) 3,903 1,990 Change in fair value of hedged other long-term debt (2) 67,389 (3,602 ) 828 (1) Effective portion of the hedging relationship is recognized in Interest expense—deposits in the Consolidated Statements of Income. Any resulting ineffective portion of the hedging relationship is recognized in noninterest income in the Consolidated Statements of Income. (2) Effective portion of the hedging relationship is recognized in Interest expense—subordinated notes and other long-term debt in the Consolidated Statements of Income. Any resulting ineffective portion of the hedging relationship is recognized in noninterest income in the Consolidated Statements of Income. The following table presents the gains and (losses) recognized in OCI and the location in the Consolidated Statements of Income of gains and (losses) reclassified from OCI into earnings for derivatives designated as effective cash flow hedges: Derivatives in cash flow hedging relationships Amount of gain or (loss) recognized in OCI on derivatives (effective portion) Location of gain or (loss) reclassified from accumulated OCI into earnings (effective portion) Amount of (gain) or loss reclassified from accumulated OCI into earnings (effective portion) (pre-tax) (dollar amounts in thousands) 2016 2015 2014 2016 2015 2014 Interest rate contracts Loans $ 1,548 $ 8,428 $ 9,192 Interest and fee income—loans and leases $ (361 ) $ (210 ) $ (4,064 ) Investment securities — — — Noninterest income - other income 1 (10 ) 93 Total $ 1,548 $ 8,428 $ 9,192 $ (360 ) $ (220 ) $ (3,971 ) Reclassified gains and losses on swaps related to loans and investment securities and swaps related to subordinated debt are recorded within interest income and interest expense, respectively. During the next twelve months, Huntington expects to reclassify to earnings approximately $(2) million after-tax, of unrealized gains (losses) on cash flow hedging derivatives currently in OCI. To the extent these derivatives are effective in offsetting the variability of the hedged cash flows, changes in the derivatives’ fair value will not be included in current earnings but are reported as a component of OCI in the Consolidated Statements of Changes in Shareholders’ Equity. These changes in fair value will be included in earnings of future periods when earnings are also affected by the changes in the hedged cash flows. To the extent these derivatives are not effective, changes in their fair values are immediately included in noninterest income. The following table presents the gains and (losses) recognized in noninterest income for the ineffective portion of interest rate contracts for derivatives designated as cash flow hedges for the years ending December 31, 2016 , 2015 , and 2014 : December 31, (dollar amounts in thousands) 2016 2015 2014 Derivatives in cash flow hedging relationships Interest rate contracts: Loans $ (317 ) $ (763 ) $ 74 Derivatives used in mortgage banking activities Mortgage loan origination hedging activity Huntington’s mortgage origination hedging activity is related to the hedging of the mortgage pricing commitments to customers and the secondary sale to third parties. The value of a newly originated mortgage is not firm until the interest rate is committed or locked. The interest rate lock commitments are derivative positions offset by forward commitments to sell loans. Huntington uses two types of mortgage-backed securities in its forward commitments to sell loans. The first type of forward commitment is a “To Be Announced” (or TBA), the second is a “Specified Pool” mortgage-backed security. Huntington uses these derivatives to hedge the value of mortgage-backed securities until they are sold. The following table summarizes the derivative assets and liabilities used in mortgage banking activities: (dollar amounts in thousands) December 31, 2016 December 31, 2015 Derivative assets: Interest rate lock agreements $ 5,747 $ 6,721 Forward trades and options 13,319 2,468 Total derivative assets 19,066 9,189 Derivative liabilities: Interest rate lock agreements (1,598 ) (220 ) Forward trades and options (1,173 ) (1,239 ) Total derivative liabilities (2,771 ) (1,459 ) Net derivative asset $ 16,295 $ 7,730 MSR hedging activity Huntington’s MSR economic hedging activity uses securities and derivatives to manage the value of the MSR asset and to mitigate the various types of risk inherent in the MSR asset, including risks related to duration, basis, convexity, volatility, and yield curve. The hedging instruments include forward commitments, interest rate swaps, and options on interest rate swaps. The total notional value of these derivative financial instruments at December 31, 2016 and 2015 , was $0.3 billion and $0.5 billion , respectively. The total notional amount at December 31, 2016 corresponds to trading assets with a fair value of $1 million and trading liabilities with a fair value of $3 million . Net trading gains (losses) related to MSR hedging for the years ended December 31, 2016 , 2015 , and 2014 , were $(1) million , $(2) million , and $7 million , respectively. These amounts are included in mortgage banking income in the Consolidated Statements of Income. Derivatives used in trading activities Various derivative financial instruments are offered to enable customers to meet their financing and investing objectives and for their risk management purposes. Derivative financial instruments used in trading activities consisted of commodity, interest rate, and foreign exchange contracts. The derivative contracts grant the option holder the right to buy or sell an underlying financial instrument for a predetermined price before the contract expires. Huntington may enter into offsetting third-party contracts with approved, reputable counterparties with substantially matching terms and currencies in order to economically hedge significant exposure related to derivatives used in trading activities. The interest rate risk of customer derivatives is mitigated by entering into similar derivatives having offsetting terms with other counterparties. The credit risk to these customers is evaluated and included in the calculation of fair value. Foreign currency derivatives help the customer hedge risk and reduce exposure to fluctuations in exchange rates. Transactions are primarily in liquid currencies with Canadian dollars and Euros comprising a majority of all transactions. The net fair values of these derivative financial instruments, for which the gross amounts are included in accrued income and other assets or accrued expenses and other liabilities at December 31, 2016 and December 31, 2015 , were $80 million and $76 million , respectively. The total notional values of derivative financial instruments used by Huntington on behalf of customers, including offsetting derivatives, were $20.6 billion and $14.6 billion at December 31, 2016 and December 31, 2015 , respectively. Huntington’s credit risks from interest rate swaps used for trading purposes were $196 million and $224 million at the same dates, respectively. Share Swap Economic Hedge Huntington acquires and holds shares of Huntington common stock in a Rabbi Trust for the Executive Deferred Compensation Plan. Huntington common stock held in the Rabbi Trust is recorded at cost and the corresponding deferred compensation liability is recorded at fair value using Huntington's share price as a significant input. During the second quarter of 2016, Huntington entered into an economic hedge with a $20 million notional amount to hedge deferred compensation expense related to the Executive Deferred Compensation Plan. The economic hedge is recorded at fair value within other assets or liabilities. Changes in the fair value are recorded directly through other noninterest expense in the Consolidated Statements of Income. At December 31, 2016 , the fair value of the share swap was $10 million . Risk Participation Agreements Huntington periodically enters into risk participation agreements in order to manage credit risk of its derivative positions. These agreements transfer counterparty credit risk related to interest rate swaps to and from other financial institutions. Huntington can mitigate exposure to certain counterparties or take on exposure to generate additional income. Huntington’s notional exposure for interest rate swaps originated by other financial institutions was $582 million and $344 million at December 31, 2016 and December 31, 2015 , respectively. Huntington will make payments under these agreements if a customer defaults on its obligation to perform under the terms of the underlying interest rate derivative contract. The amount Huntington would have to pay if all counterparties defaulted on their swap contracts is the fair value of these risk participations, which was a positive value (receivable) of $3 million at December 31, 2016 and a negative value (payable) of $6 million at December 31, 2015 . These contracts mature between 2017 and 2043 and are deemed investment grade. Financial assets and liabilities that are offset in the Consolidated Balance Sheets Huntington records derivatives at fair value as further described in Note 18 . Huntington records these derivatives net of any master netting arrangement in the Consolidated Balance Sheets. Collateral agreements are regularly entered into as part of the underlying derivative agreements with Huntington’s counterparties to mitigate counterparty credit risk. All derivatives are carried on the Consolidated Balance Sheets at fair value. Derivative balances are presented on a net basis taking into consideration the effects of legally enforceable master netting agreements. Cash collateral exchanged with counterparties is also netted against the applicable derivative fair values. Huntington enters into derivative transactions with two primary groups: broker-dealers and banks, and Huntington’s customers. Different methods are utilized for managing counterparty credit exposure and credit risk for each of these groups. Huntington enters into transactions with broker-dealers and banks for various risk management purposes. These types of transactions generally are high dollar volume. Huntington enters into bilateral collateral and master netting agreements with these counterparties, and routinely exchange cash and high quality securities collateral with these counterparties. Huntington enters into transactions with customers to meet their financing, investing, payment and risk management needs. These types of transactions generally are low dollar volume. Huntington generally enters into master netting agreements with customer counterparties, however collateral is generally not exchanged with customer counterparties. At December 31, 2016 and December 31, 2015 , aggregate credit risk associated with these derivatives, net of collateral that has been pledged by the counterparty, was $26 million and $15 million , respectively. The credit risk associated with interest rate swaps is calculated after considering master netting agreements with broker-dealers and banks. At December 31, 2016 , Huntington pledged $172 million of investment securities and cash collateral to counterparties, while other counterparties pledged $90 million of investment securities and cash collateral to Huntington to satisfy collateral netting agreements. In the event of credit downgrades, Huntington would not be required to provide additional collateral. The following tables present the gross amounts of these assets and liabilities with any offsets to arrive at the net amounts recognized in the Consolidated Balance Sheets at December 31, 2016 and December 31, 2015 : Offsetting of Financial Assets and Derivative Assets Gross amounts not offset in the consolidated balance sheets (dollar amounts in thousands) Gross amounts of recognized assets Gross amounts offset in the consolidated balance sheets Net amounts of assets presented in the consolidated balance sheets Financial instruments Cash collateral received Net amount Offsetting of Financial Assets and Derivative Assets December 31, 2016 Derivatives $ 420,159 $ (181,940 ) $ 238,219 $ (34,328 ) $ (5,428 ) $ 198,463 December 31, 2015 Derivatives 436,169 (161,297 ) 274,872 (39,305 ) (3,462 ) 232,105 Offsetting of Financial Liabilities and Derivative Liabilities Gross amounts not offset in the consolidated balance sheets (dollar amounts in thousands) Gross amounts of recognized liabilities Gross amounts offset in the consolidated balance sheets Net amounts of assets presented in the consolidated balance sheets Financial instruments Cash collateral delivered Net amount Offsetting of Financial Liabilities and Derivative Liabilities December 31, 2016 Derivatives $ 370,647 $ (272,361 ) $ 98,286 $ (7,550 ) $ (23,943 ) $ 66,793 December 31, 2015 Derivatives 288,659 (144,309 ) 144,350 (62,460 ) (20 ) 81,870 |
VIEs
VIEs | 12 Months Ended |
Dec. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
VIEs | Consolidated VIEs Consolidated VIEs at December 31, 2016 , consisted of certain loan and lease securitization trusts. Huntington has determined the trusts are VIEs. Huntington has concluded that it is the primary beneficiary of these trusts because it has the power to direct the activities of the entity that most significantly affect the entity’s economic performance and it has either the obligation to absorb losses of the entity that could potentially be significant to the VIE or the right to receive benefits from the entity that could potentially be significant to the VIE. During the 2015 first quarter, Huntington acquired two securitization trusts with its acquisition of Huntington Technology Finance. During the 2016 first quarter, Huntington canceled the Series 2012A Trust. As a result, any remaining assets at the time of the cancellation were no longer part of the trust. The following tables present the carrying amount and classification of the consolidated trusts’ assets and liabilities that were included in the Consolidated Balance Sheets at December 31, 2016 and 2015 : December 31, 2016 Huntington Technology Other Consolidated VIEs Total (dollar amounts in thousands) Series 2014A Assets: Cash $ 1,564 $ — $ 1,564 Net loans and leases 69,825 — 69,825 Accrued income and other assets — 281 281 Total assets $ 71,389 $ 281 $ 71,670 Liabilities: Other long-term debt $ 57,494 $ — $ 57,494 Accrued interest and other liabilities — 281 281 Total liabilities 57,494 281 57,775 Equity: Beneficial Interest owned by third party 13,895 — 13,895 Total liabilities and equity $ 71,389 $ 281 $ 71,670 December 31, 2015 Huntington Technology Other Consolidated VIEs Total (dollar amounts in thousands) Series 2012A Series 2014A Assets: Cash $ 1,377 $ 1,561 $ — $ 2,938 Net loans and leases 32,180 152,331 — 184,511 Accrued income and other assets — — 229 229 Total assets $ 33,557 $ 153,892 $ 229 $ 187,678 Liabilities: Other long-term debt $ 27,153 $ 123,577 $ — $ 150,730 Accrued interest and other liabilities — — 229 229 Total liabilities 27,153 123,577 229 150,959 Equity: Beneficial Interest owned by third party $ 6,404 $ 30,315 — 36,719 Total liabilities and equity $ 33,557 $ 153,892 $ 229 $ 187,678 The loans and leases were designated to repay the securitized notes. Huntington services the loans and leases and uses the proceeds from principal and interest payments to pay the securitized notes during the amortization period. Huntington has not provided financial or other support that was not previously contractually required. Unconsolidated VIEs The following tables provide a summary of the assets and liabilities included in Huntington’s Consolidated Financial Statements, as well as the maximum exposure to losses, associated with its interests related to unconsolidated VIEs for which Huntington holds an interest, but is not the primary beneficiary, to the VIE at December 31, 2016 , and 2015 : December 31, 2016 (dollar amounts in thousands) Total Assets Total Liabilities Maximum Exposure to Loss 2016-1 Automobile Trust $ 14,770 $ — $ 14,770 2015-1 Automobile Trust 2,227 — 2,227 2012-1 Automobile Trust — — — 2012-2 Automobile Trust — — — Trust Preferred Securities 13,919 252,552 — Low Income Housing Tax Credit Partnerships 576,880 292,721 576,880 Other Investments 79,195 42,316 79,195 Total $ 686,991 $ 587,589 $ 673,072 December 31, 2015 (dollar amounts in thousands) Total Assets Total Liabilities Maximum Exposure to Loss 2015-1 Automobile Trust $ 7,695 $ — $ 7,695 2012-1 Automobile Trust 94 — 94 2012-2 Automobile Trust 771 — 771 Trust Preferred Securities 13,919 317,106 — Low Income Housing Tax Credit Partnerships 425,500 196,001 425,500 Other Investments 68,746 25,762 68,746 Total $ 516,725 $ 538,869 $ 502,806 AUTOMOBILE TRUST SECURITIZATIONS The following table provides a summary of automobile transfers to trusts in separate securitization transactions. (dollar amounts in millions) Year Amount Transferred 2016-1 Automobile Trust 2016 $ 1,500 2015-1 Automobile Trust 2015 750 2012-1 Automobile Trust 2012 1,300 2012-2 Automobile Trust 2012 1,000 The securitizations and the resulting sale of all underlying securities qualified for sale accounting. Huntington has concluded that it is not the primary beneficiary of these trusts because it has neither the obligation to absorb losses of the entities that could potentially be significant to the VIEs nor the right to receive benefits from the entities that could potentially be significant to the VIEs. Huntington is not required and does not currently intend to provide any additional financial support to the trusts. Investors and creditors only have recourse to the assets held by the trusts. The interest Huntington holds in the VIEs relates to servicing rights which are included within accrued income and other assets of Huntington’s Consolidated Balance Sheets. The maximum exposure to loss is equal to the carrying value of the servicing asset. See Note 7 for more information. During the 2016 first quarter, Huntington canceled the 2012-1 Automobile Trust. As a result, any remaining assets at the time of the cancellation were no longer part of the trust. During the 2016 third quarter, Huntington canceled the 2012-2 Automobile Trust. As a result, any remaining assets at the time of the cancellation were no longer part of the trust. TRUST-PREFERRED SECURITIES Huntington has certain wholly-owned trusts whose assets, liabilities, equity, income, and expenses are not included within Huntington’s Consolidated Financial Statements. These trusts have been formed for the sole purpose of issuing trust-preferred securities, from which the proceeds are then invested in Huntington junior subordinated debentures, which are reflected in Huntington’s Consolidated Balance Sheet as subordinated notes. The trust securities are the obligations of the trusts, and as such, are not consolidated within Huntington’s Consolidated Financial Statements. A list of trust-preferred securities outstanding at December 31, 2016 follows: (dollar amounts in thousands) Rate Principal amount of subordinated note/ debenture issued to trust (1) Investment in unconsolidated subsidiary Huntington Capital I 1.59 % (2) $ 69,730 $ 6,186 Huntington Capital II 1.59 (3) 32,093 3,093 Sky Financial Capital Trust III 2.40 (4) 72,165 2,165 Sky Financial Capital Trust IV 2.25 (4) 74,320 2,320 Camco Financial Trust 3.43 (5) 4,244 155 Total $ 252,552 $ 13,919 (1) Represents the principal amount of debentures issued to each trust, including unamortized original issue discount. (2) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 0.70 . (3) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 62.5 . (4) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 1.40 . (5) Variable effective rate (including impact of purchase accounting accretion) at December 31, 2016 , based on three month LIBOR + 1.33 . Each issue of the junior subordinated debentures has an interest rate equal to the corresponding trust securities distribution rate. Huntington has the right to defer payment of interest on the debentures at any time, or from time-to-time for a period not exceeding five years provided that no extension period may extend beyond the stated maturity of the related debentures. During any such extension period, distributions to the trust securities will also be deferred and Huntington’s ability to pay dividends on its common stock will be restricted. Periodic cash payments and payments upon liquidation or redemption with respect to trust securities are guaranteed by Huntington to the extent of funds held by the trusts. The guarantee ranks subordinate and junior in right of payment to all indebtedness of the Company to the same extent as the junior subordinated debt. The guarantee does not place a limitation on the amount of additional indebtedness that may be incurred by Huntington. LOW INCOME HOUSING TAX CREDIT PARTNERSHIPS Huntington makes certain equity investments in various limited partnerships that sponsor affordable housing projects utilizing the Low Income Housing Tax Credit (LIHTC) pursuant to Section 42 of the Internal Revenue Code. The purpose of these investments is to achieve a satisfactory return on capital, to facilitate the sale of additional affordable housing product offerings, and to assist in achieving goals associated with the Community Reinvestment Act. The primary activities of the limited partnerships include the identification, development, and operation of multi family housing that is leased to qualifying residential tenants. Generally, these types of investments are funded through a combination of debt and equity. Huntington uses the proportional amortization method to account for a majority of its investments in these entities. These investments are included in accrued income and other assets. Investments that do not meet the requirements of the proportional amortization method are recognized using the equity method. Investment losses related to these investments are included in noninterest income in the Consolidated Statements of Income. The following table presents the balances of Huntington’s affordable housing tax credit investments and related unfunded commitments at December 31, 2016 and 2015 . (dollar amounts in thousands) December 31, December 31, Affordable housing tax credit investments $ 877,237 $ 674,157 Less: amortization (300,357 ) (248,657 ) Net affordable housing tax credit investments $ 576,880 $ 425,500 Unfunded commitments $ 292,721 $ 196,001 The following table presents other information relating to Huntington’s affordable housing tax credit investments for the years ended December 31, 2016 , 2015 , and 2014 : Year Ended December 31, (dollar amounts in thousands) 2016 2015 2014 Tax credits and other tax benefits recognized $ 79,696 $ 59,614 $ 51,317 Proportional amortization method Tax credit amortization expense included in provision for income taxes 52,713 42,951 39,021 Equity method Tax credit investment losses included in noninterest income 637 355 434 There were no sales of LIHTC investments in 2016 , 2015 or 2014 . Huntington recognized immaterial impairment losses for the years ended December 31, 2016 , 2015 and 2014 . The impairment losses recognized related to the fair value of the tax credit investments that were less than carrying value. OTHER INVESTMENTS Other investments determined to be VIE’s include investments in New Market Tax Credit Investments, Historic Tax Credit Investments, Small Business Investment Companies, Rural Business Investment Companies, certain equity method investments and other miscellaneous investments. |
COMMITMENTS AND CONTINGENT LIAB
COMMITMENTS AND CONTINGENT LIABILITIES | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENT LIABILITIES | COMMITMENTS AND CONTINGENT LIABILITIES Commitments to extend credit In the ordinary course of business, Huntington makes various commitments to extend credit that are not reflected in the Consolidated Financial Statements. The contract amounts of these financial agreements at December 31, 2016 , and December 31, 2015 were as follows: At December 31, (dollar amounts in thousands) 2016 2015 Contract amount represents credit risk Commitments to extend credit: Commercial $ 15,190,056 $ 11,448,927 Consumer 12,235,943 8,574,093 Commercial real estate 1,697,671 813,271 Standby letters of credit 637,182 511,706 Commercial letters-of-credit 4,610 56,119 Commitments to extend credit generally have fixed expiration dates, are variable-rate, and contain clauses that permit Huntington to terminate or otherwise renegotiate the contracts in the event of a significant deterioration in the customer’s credit quality. These arrangements normally require the payment of a fee by the customer, the pricing of which is based on prevailing market conditions, credit quality, probability of funding, and other relevant factors. Since many of these commitments are expected to expire without being drawn upon, the contract amounts are not necessarily indicative of future cash requirements. The interest rate risk arising from these financial instruments is insignificant as a result of their predominantly short-term, variable-rate nature. Standby letters-of-credit are conditional commitments issued to guarantee the performance of a customer to a third-party. These guarantees are primarily issued to support public and private borrowing arrangements, including commercial paper, bond financing, and similar transactions. Most of these arrangements mature within two years. The carrying amount of deferred revenue associated with these guarantees was $8 million and $7 million at December 31, 2016 and December 31, 2015 , respectively. Commercial letters-of-credit represent short-term, self-liquidating instruments that facilitate customer trade transactions and generally have maturities of no longer than 90 days . The goods or cargo being traded normally secures these instruments. Commitments to sell loans Activity related to our mortgage origination activity supports the hedging of the mortgage pricing commitments to customers and the secondary sale to third parties. At December 31, 2016 and 2015 , Huntington had commitments to sell residential real estate loans of $819 million and $659 million , respectively. These contracts mature in less than one year . Litigation The nature of Huntington’s business ordinarily results in a certain amount of pending as well as threatened claims, litigation, investigations, regulatory and legal and administrative cases, matters and proceedings, all of which are considered incidental to the normal conduct of business. When the Company determines it has meritorious defenses to the claims asserted, it vigorously defends itself. The Company considers settlement of cases when, in management’s judgment, it is in the best interests of both the Company and its shareholders to do so. On at least a quarterly basis, Huntington assesses its liabilities and contingencies in connection with threatened and outstanding legal cases, matters and proceedings, utilizing the latest information available. For cases, matters and proceedings where it is both probable the Company will incur a loss and the amount can be reasonably estimated, Huntington establishes an accrual for the loss. Once established, the accrual is adjusted as appropriate to reflect any relevant developments. For cases, matters or proceedings where a loss is not probable or the amount of the loss cannot be estimated, no accrual is established. In certain cases, matters and proceedings, exposure to loss exists in excess of the accrual to the extent such loss is reasonably possible, but not probable. Management believes an estimate of the aggregate range of reasonably possible losses, in excess of amounts accrued, for current legal proceedings is up to $65 million at December 31, 2016 . For certain other cases, and matters, Management cannot reasonably estimate the possible loss at this time. Any estimate involves significant judgment, given the varying stages of the proceedings (including the fact that many of them are currently in preliminary stages), the existence of multiple defendants in several of the current proceedings whose share of liability has yet to be determined, the numerous unresolved issues in many of the proceedings, and the inherent uncertainty of the various potential outcomes of such proceedings. Accordingly, Management’s estimate will change from time-to-time, and actual losses may be more or less than the current estimate. While the final outcome of legal cases, matters, and proceedings is inherently uncertain, based on information currently available, advice of counsel, and available insurance coverage, Management believes that the amount it has already accrued is adequate and any incremental liability arising from the Company’s legal cases, matters, or proceedings will not have a material negative adverse effect on the Company’s consolidated financial position as a whole. However, in the event of unexpected future developments, it is possible that the ultimate resolution of these cases, matters, and proceedings, if unfavorable, may be material to the Company’s consolidated financial position in a particular period. Meoli v. The Huntington National Bank (Cyberco Litigation). The Bank has been named a defendant in a lawsuit arising from the Bank’s commercial lending, depository, and equipment leasing relationships with Cyberco Holdings, Inc. (Cyberco), based in Grand Rapids, Michigan. In November 2004, an equipment leasing fraud was uncovered, whereby Cyberco sought financing from equipment lessors and financial institutions, including Huntington, allegedly to purchase computer equipment from Teleservices Group, Inc. (Teleservices). Cyberco created fraudulent documentation to close the financing transactions when, in fact, no computer equipment was ever purchased or leased from Teleservices, which later proved to be a shell corporation. Bankruptcy proceedings for both Cyberco and Teleservices later ensued. On September 28, 2015, adopting the bankruptcy court's recommendation, the U.S. District Court for the Western District of Michigan entered a judgment against Huntington in the amount of $72 million plus costs and pre- and post-judgment interest. Huntington increased its legal reserve by approximately $38 million to fully accrue for the amount of the judgment in the third quarter of 2015 while appealing the decision to the U.S. Sixth Circuit Court of Appeals. On February 8, 2017, the appellate court reversed the district court decision in part and remanded the case to the district court for further proceedings. Consistent with its reading of the appellate court opinion, Huntington decreased its legal reserve by approximately $42 million in the fourth quarter of 2016. Powell v. Huntington National Bank. Huntington is a defendant in a class action filed on October 15, 2013 alleging Huntington charged late fees on mortgage loans in a method that violated West Virginia law and the loan documents. Plaintiffs seek statutory civil penalties, compensatory damages and attorney’s fees. Huntington filed a motion for summary judgment on the plaintiffs’ claims, which was granted by the U.S. District Court on December 28, 2016. Plaintiffs have filed a notice of appeal to the U.S. Fourth Circuit Court of Appeals. FirstMerit Merger Shareholder Litigation . Huntington is a defendant in five lawsuits filed in February and March of 2016 in state and federal courts in Ohio relating to the FirstMerit merger. The plaintiffs in each case are FirstMerit shareholders and have filed class action and derivative claims seeking to enjoin the merger. The parties in the federal court cases have entered into a tentative settlement. The defendants made agreed supplemental disclosures in advance of the shareholder vote in exchange for which plaintiffs agreed to withdraw their preliminary injunction motion and agreed to a release of all claims in the federal and state actions. The parties jointly moved for approval of the settlement by the federal court, which was granted on February 1, 2017. The plaintiffs in the state court cases did not join in the settlement, but their claims will be released in the federal court settlement. FirstMerit Overdraft Litigation. Commencing in December 2010, two separate lawsuits were filed in the Summit County Court of Common Pleas and the Lake County Court of Common Pleas against FirstMerit. The complaints were brought as class actions on behalf of Ohio residents who maintained a checking account at FirstMerit and who incurred one or more overdraft fees as a result of the alleged re-sequencing of debit transactions. The parties have reached a global settlement for approximately $9 million cash to a common fund plus an additional $7 million in debt forgiveness. Attorneys' fees will be paid from the fund, with any remaining funds going to charity. FirstMerit’s insurer has agreed to reimburse Huntington 49% of the approximately $9 million, which totals approximately $4.4 million . The court preliminarily approved the settlement on December 5, 2016 and the cash portion of the settlement was funded on December 12, 2016. The final approval hearing is scheduled for June 2, 2017. Commitments Under Operating Lease Obligations At December 31, 2016 , Huntington and its subsidiaries were obligated under noncancelable leases for land, buildings, and equipment. Many of these leases contain renewal options and certain leases provide options to purchase the leased property during or at the expiration of the lease period at specified prices. Some leases contain escalation clauses calling for rentals to be adjusted for increased real estate taxes and other operating expenses or proportionately adjusted for increases in the consumer or other price indices. The future minimum rental payments required under operating leases that have initial or remaining noncancelable lease terms in excess of one year as of December 31, 2016 , were as follows: $59 million in 2017 , $54 million in 2018 , $48 million in 2019 , $46 million in 2020 , $30 million in 2021 , and $152 million thereafter. At December 31, 2016 , total minimum lease payments have not been reduced by minimum sublease rentals of $8 million due in the future under noncancelable subleases. At December 31, 2016 , the future minimum sublease rental payments that Huntington expects to receive were as follows: $3 million in 2017 , $2 million in 2018 , $2 million in 2019 , $1 million in 2020 , $0 million in 2021 , and $0 million thereafter. The rental expense for all operating leases was $65 million , $58 million , and $57 million for 2016 , 2015 , and 2014 , respectively. Huntington had no material obligations under capital leases. |
OTHER REGULATORY MATTERS
OTHER REGULATORY MATTERS | 12 Months Ended |
Dec. 31, 2016 | |
Banking and Thrift [Abstract] | |
OTHER REGULATORY MATTERS | OTHER REGULATORY MATTERS Huntington and its bank subsidiary, The Huntington National Bank (the Bank), are subject to various regulatory capital requirements administered by banking regulators. These requirements involve qualitative judgments and quantitative measures of assets, liabilities, capital amounts, and certain off-balance sheet items as calculated under regulatory accounting practices. Failure to meet minimum capital requirements can initiate certain actions by regulators that, if undertaken, could have a material adverse effect on Huntington’s and the Bank’s financial statements. Beginning in 2015, Huntington and the Bank became subject to the Basel III capital requirements including the standardized approach for calculating risk-weighted assets in accordance with subpart D of the final capital rule. The Basel III capital requirements emphasize CET1 capital, the most loss-absorbing form of capital, and implement strict eligibility criteria for regulatory capital instruments. CET1 capital primarily includes common shareholders’ equity less certain deductions for goodwill and other intangibles net of related taxes, and deferred tax assets that arise from tax loss and credit carryforwards. Tier 1 capital is primarily comprised of CET1 capital, perpetual preferred stock and certain qualifying capital instruments (TRUPS) that are subject to eventual phase-out from tier 1 capital in 2017. Tier 2 capital primarily includes qualifying subordinated debt and qualifying ALLL. We are also subject to CCAR and must submit annual capital plans to our banking regulators. We may pay dividends and repurchase stock up to the levels submitted in our 2016 CCAR capital plan submission to which the FRB did not object. As of December 31, 2016 , Huntington and the Bank met all capital adequacy requirements and had regulatory capital ratios in excess of the levels established for well-capitalized institutions. The period-end capital amounts and capital ratios of Huntington and the Bank are as follows, including the CET1 ratio on a Basel III basis. The implementation of the Basel III capital requirements is transitional and phases-in from January 1, 2015 through the end of 2018. Well- December 31, capitalized Minimum 2016 2015 Capital Capital Basel III (dollar amounts in thousands) Ratios Ratios Ratio Amount Ratio Amount Common equity tier 1 risk-based capital Consolidated N.A. 4.50 % 9.56 % $ 7,485,816 9.79 % $ 5,721,028 Bank 6.50 % 4.50 10.42 8,153,091 9.46 5,518,748 Tier 1 risk-based capital Consolidated 6.00 6.00 10.92 8,547,154 10.53 6,154,000 Bank 8.00 6.00 11.61 9,085,921 9.83 5,735,274 Total risk-based capital Consolidated 10.00 8.00 13.05 10,215,627 12.64 7,386,936 Bank 10.00 8.00 13.83 10,817,597 11.74 6,850,596 Tier 1 leverage capital Consolidated N.A. 4.00 8.70 8,547,154 8.79 6,154,000 Bank 5.00 4.00 9.29 9,085,921 8.21 5,735,274 Huntington has the ability to provide additional capital to the Bank to maintain the Bank’s risk-based capital ratios at levels at which would be considered well-capitalized. Huntington and its subsidiaries are also subject to various regulatory requirements that impose restrictions on cash, debt, and dividends. The Bank is required to maintain cash reserves based on the level of certain of its deposits. This reserve requirement may be met by holding cash in banking offices or on deposit at the Federal Reserve Bank. During 2016 and 2015 , the average balances of these deposits were $0.3 billion and $0.5 billion , respectively. Under current Federal Reserve regulations, the Bank is limited as to the amount and type of loans it may make to the parent company and nonbank subsidiaries. At December 31, 2016 , the Bank could lend $1.1 billion to a single affiliate, subject to the qualifying collateral requirements defined in the regulations. Dividends from the Bank are one of the major sources of funds for the Company. These funds aid the Company in the payment of dividends to shareholders, expenses, and other obligations. Payment of dividends and/or return of capital to the parent company is subject to various legal and regulatory limitations. During 2016 , the Bank paid dividends and returned capital of $638.2 million to the holding company. Also, there are statutory and regulatory limitations on the ability of national banks to pay dividends or make other capital distributions. |
PARENT COMPANY FINANCIAL STATEM
PARENT COMPANY FINANCIAL STATEMENTS | 12 Months Ended |
Dec. 31, 2016 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
PARENT COMPANY FINANCIAL STATEMENTS | PARENT-ONLY FINANCIAL STATEMENTS The parent-only financial statements, which include transactions with subsidiaries, are as follows: Balance Sheets December 31, (dollar amounts in thousands) 2016 2015 Assets Cash and due from banks $ 1,752,889 $ 917,368 Due from The Huntington National Bank 730,004 406,253 Due from non-bank subsidiaries 45,193 48,151 Investment in The Huntington National Bank 10,668,303 5,966,783 Investment in non-bank subsidiaries 499,611 489,205 Accrued interest receivable and other assets 320,666 192,444 Total assets $ 14,016,666 $ 8,020,204 Liabilities and shareholders’ equity Long-term borrowings $ 3,144,615 $ 1,040,981 Dividends payable, accrued expenses, and other liabilities 563,905 384,617 Total liabilities 3,708,520 1,425,598 Shareholders’ equity (1) 10,308,146 6,594,606 Total liabilities and shareholders’ equity $ 14,016,666 $ 8,020,204 (1) See Consolidated Statements of Changes in Shareholders’ Equity. Statements of Income Year Ended December 31, (dollar amounts in thousands) 2016 2015 2014 Income Dividends from The Huntington National Bank $ 188,200 $ 822,000 $ 244,000 Non-bank subsidiaries 11,378 38,883 27,773 Interest from The Huntington National Bank 13,892 5,954 3,906 Non-bank subsidiaries 2,221 2,317 2,613 Other — 4,529 2,994 Total income 215,691 873,683 281,286 Expense Personnel costs 11,960 4,770 53,359 Interest on borrowings 59,027 17,428 17,031 Other 122,869 92,735 52,662 Total expense 193,856 114,933 123,052 Income (loss) before income taxes and equity in undistributed net income of subsidiaries 21,835 758,750 158,234 Provision (benefit) for income taxes (56,255 ) (109,867 ) (62,897 ) Income (loss) before equity in undistributed net income of subsidiaries 78,090 868,617 221,131 Increase (decrease) in undistributed net income (loss) of: The Huntington National Bank 629,220 (160,567 ) 414,049 Non-bank subsidiaries 4,511 (15,093 ) (2,788 ) Net income $ 711,821 $ 692,957 $ 632,392 Other comprehensive income (loss) (1) (174,858 ) (3,866 ) (8,283 ) Comprehensive income $ 536,963 $ 689,091 $ 624,109 (1) See Consolidated Statements of Comprehensive Income for other comprehensive income (loss) detail. Statements of Cash Flows Year Ended December 31, (dollar amounts in thousands) 2016 2015 2014 Operating activities Net income $ 711,821 $ 692,957 $ 632,392 Adjustments to reconcile net income to net cash provided by operating activities: Equity in undistributed net income of subsidiaries (633,730 ) 175,660 (411,261 ) Depreciation and amortization (1,390 ) 609 548 Loss on sales of securities available-for-sale — 540 — Other, net (23,600 ) (44,197 ) 26,685 Net cash (used for) provided by operating activities 53,101 825,569 248,364 Investing activities Repayments from subsidiaries 464,284 494,905 9,250 Advances to subsidiaries (1,758,745 ) (612,610 ) (32,350 ) Proceeds from sale of securities available-for-sale (1,589 ) 449 — Cash paid for acquisitions, net of cash received (133,218 ) — (13,452 ) Proceeds from business divestitures — 9,029 — Net cash (used for) provided by investing activities (1,429,268 ) (108,227 ) (36,552 ) Financing activities Proceeds from issuance of long-term borrowings 1,989,938 — — Payment of borrowings (64,586 ) — — Dividends paid on stock (299,588 ) (224,390 ) (198,789 ) Net proceeds from issuance of common stock — — 2,597 Net proceeds from issuance of preferred stock 584,936 — — Repurchases of common stock — (251,844 ) (334,429 ) Other, net 988 13,492 15,512 Net cash provided by (used for) financing activities 2,211,688 (462,742 ) (515,109 ) Increase (decrease) in cash and due from banks 835,521 254,600 (303,297 ) Cash and due from banks at beginning of year 917,368 662,768 966,065 Cash and due from banks at end of year $ 1,752,889 $ 917,368 $ 662,768 Supplemental disclosure: Interest paid $ 36,068 $ 17,384 $ 21,321 |
SEGMENT REPORTING
SEGMENT REPORTING | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
SEGMENT REPORTING | SEGMENT REPORTING Our business segments are based on our internally-aligned segment leadership structure, which is how we monitor results and assess performance. We have five major business segments: Consumer and Business Banking , Commercial Banking , Commercial Real Estate and Vehicle Finance (CREVF) , Regional Banking and The Huntington Private Client Group (RBHPCG) , and Home Lending . The Treasury / Other function includes our technology and operations, other unallocated assets, liabilities, revenue, and expense. Business segment results are determined based upon our management reporting system, which assigns balance sheet and income statement items to each of the business segments. The process is designed around our organizational and management structure and, accordingly, the results derived are not necessarily comparable with similar information published by other financial institutions. Additionally, because of the interrelationships of the various segments, the information presented is not indicative of how the segments would perform if they operated as independent entities Revenue is recorded in the business segment responsible for the related product or service. Fee sharing is recorded to allocate portions of such revenue to other business segments involved in selling to, or providing service to customers. Results of operations for the business segments reflect these fee sharing allocations. The management accounting process that develops the business segment reporting utilizes various estimates and allocation methodologies to measure the performance of the business segments. Expenses are allocated to business segments using a two-phase approach. The first phase consists of measuring and assigning unit costs (activity-based costs) to activities related to product origination and servicing. These activity-based costs are then extended, based on volumes, with the resulting amount allocated to business segments that own the related products. The second phase consists of the allocation of overhead costs to all five business segments from Treasury / Other . We utilize a full-allocation methodology, where all Treasury / Other expenses, except reported Significant Items, and a small amount of other residual unallocated expenses, are allocated to the five business segments. The management accounting policies and processes utilized in compiling segment financial information are highly subjective and, unlike financial accounting, are not based on authoritative guidance similar to GAAP. As a result, reported segment results are not necessarily comparable with similar information reported by other financial institutions. Furthermore, changes in management structure or allocation methodologies and procedures result in changes in reported segment financial data. Accordingly, certain amounts have been reclassified to conform to the current period presentation. We use an active and centralized FTP methodology to attribute appropriate income to the business segments. The intent of the FTP methodology is to transfer interest rate risk from the business segments by providing matched duration funding of assets and liabilities. The result is to centralize the financial impact, management, and reporting of interest rate risk in the Treasury / Other function where it can be centrally monitored and managed. The Treasury / Other function charges (credits) an internal cost of funds for assets held in (or pays for funding provided by) each business segment. The FTP rate is based on prevailing market interest rates for comparable duration assets (or liabilities). Consumer and Business Banking - The Consumer and Business Banking segment provides a wide array of financial products and services to consumer and small business customers including but not limited to checking accounts, savings accounts, money market accounts, certificates of deposit, investments, consumer loans, credit cards, and small business loans. Other financial services available to consumer and small business customers include mortgages, insurance, interest rate risk protection, foreign exchange, and treasury management. Business Banking is defined as serving companies with revenues up to $20 million and consists of approximately 254,000 businesses Commercial Banking - Through a relationship banking model, this segment provides a wide array of products and services to the middle market, large corporate, and government public sector customers located primarily within our geographic footprint. The segment is divided into seven business units: middle market, large corporate, specialty banking, asset finance, capital markets, treasury management, and insurance. Commercial Real Estate and Vehicle Finance - This segment provides lending and other banking products and services to customers outside of our traditional retail and commercial banking segments. Our products and services include providing financing for the purchase of automobiles, light-duty trucks, recreational vehicles and marine craft at franchised dealerships, financing the acquisition of new and used vehicle inventory of franchised automotive dealerships, and financing for land, buildings, and other commercial real estate owned or constructed by real estate developers, automobile dealerships, or other customers with real estate project financing needs. Products and services are delivered through highly specialized relationship-focused bankers and product partners. Regional Banking and The Huntington Private Client Group - The core business of The Huntington Private Client Group is The Huntington Private Bank, which consists of Private Banking, Wealth & Investment Management, and Retirement plan services. The Huntington Private Bank provides high net-worth customers with deposit, lending (including specialized lending options), and banking services. The Huntington Private Bank also delivers wealth management and legacy planning through investment and portfolio management, fiduciary administration, and trust services. This group also provides retirement plan services to corporate businesses. The Huntington Private Client Group also provides corporate trust services and institutional and mutual fund custody services Home Lending - Home Lending originates and services consumer loans and mortgages for customers who are generally located in our primary banking markets. Consumer and mortgage lending products are primarily distributed through the Consumer and Business Banking and Regional Banking and the Private Client Group segments, as well as through commissioned loan originators. Home lending earns interest portfolio loans and loans held-for-sale, earns fee income from the origination and servicing of mortgage loans, and recognizes gains or losses from the sale of mortgage loans. Home Lending supports the origination and servicing of mortgage loans across all segments. Listed below is certain financial information reconciled to Huntington’s December 31, 2016 , December 31, 2015 , and December 31, 2014 , reported results by business segment: Income Statements (dollar amounts in thousands) Consumer & Business Banking Commercial Banking CREVF RBHPCG Home Lending Treasury / Other Huntington Consolidated 2016 Net interest income $ 1,272,713 $ 512,995 $ 468,969 $ 177,431 $ 58,354 $ (121,144 ) $ 2,369,318 Provision (benefit) for credit losses 71,945 98,816 26,922 (3,467 ) (3,412 ) (2 ) 190,802 Noninterest income 558,811 275,258 40,582 120,687 90,358 64,035 1,149,731 Noninterest expense 1,208,585 385,783 170,276 196,194 124,683 322,964 2,408,485 Provision (benefit) for income taxes 192,848 106,279 109,324 36,887 9,604 (247,001 ) 207,941 Net income (loss) $ 358,146 $ 197,375 $ 203,029 $ 68,504 $ 17,837 $ (133,070 ) $ 711,821 2015 Net interest income $ 1,027,950 $ 379,409 $ 381,231 $ 139,188 $ 50,404 $ (27,445 ) $ 1,950,737 Provision (benefit) for credit losses 42,777 49,534 4,890 87 2,671 (5 ) 99,954 Noninterest income 478,142 258,778 29,254 114,814 87,021 70,721 1,038,730 Noninterest expense 1,099,779 284,026 152,010 195,667 144,848 99,578 1,975,908 Provision (benefit) for income taxes 127,238 106,619 88,755 20,387 (3,533 ) (118,818 ) 220,648 Net income (loss) $ 236,298 $ 198,008 $ 164,830 $ 37,861 $ (6,561 ) $ 62,521 $ 692,957 2014 Net interest income $ 912,992 $ 306,434 $ 379,363 $ 101,839 $ 58,015 $ 78,498 $ 1,837,141 Provision (benefit) for credit losses 75,529 31,521 (52,843 ) 4,893 21,889 — 80,989 Noninterest income 409,746 209,238 26,628 173,550 69,899 90,118 979,179 Noninterest expense 982,288 249,300 156,715 236,634 136,374 121,035 1,882,346 Provision (benefit) for income taxes 92,722 82,198 105,742 11,852 (10,622 ) (61,299 ) 220,593 Net income (loss) $ 172,199 $ 152,653 $ 196,377 $ 22,010 $ (19,727 ) $ 108,880 $ 632,392 Assets at December 31, Deposits at December 31, (dollar amounts in thousands) 2016 2015 2016 2015 Consumer & Business Banking $ 21,796,887 $ 15,759,561 $ 44,860,515 $ 30,964,241 Commercial Banking 23,918,429 17,022,387 15,616,241 11,498,883 CREVF 23,580,331 17,856,358 1,886,626 1,649,301 RBHPCG 5,553,012 4,277,970 8,521,401 7,530,241 Home Lending 3,502,304 3,080,690 639,418 361,881 Treasury / Other 21,363,134 13,021,335 4,083,516 3,290,432 Total $ 99,714,097 $ 71,018,301 $ 75,607,717 $ 55,294,979 |
QUARTERLY RESULTS OF OPERATIONS
QUARTERLY RESULTS OF OPERATIONS (UNAUDITED) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
QUARTERLY RESULTS OF OPERATIONS (UNAUDITED) | QUARTERLY RESULTS OF OPERATIONS (UNAUDITED) The following is a summary of the quarterly results of operations, for the years ended December 31, 2016 and 2015 : Three months ended December 31, September 30, June 30, March 31, (dollar amounts in thousands, except per share data) 2016 2016 2016 2016 Interest income $ 814,858 $ 694,346 $ 565,658 $ 557,251 Interest expense 79,877 68,956 59,777 54,185 Net interest income 734,981 625,390 505,881 503,066 Provision for credit losses 74,906 63,805 24,509 27,582 Noninterest income 334,337 302,415 271,112 241,867 Noninterest expense 681,497 712,247 523,661 491,080 Income before income taxes 312,915 151,753 228,823 226,271 Provision for income taxes 73,952 24,749 54,283 54,957 Net income 238,963 127,004 174,540 171,314 Dividends on preferred shares 18,865 18,537 19,874 7,998 Net income applicable to common shares $ 220,098 $ 108,467 $ 154,666 $ 163,316 Net income per common share — Basic $ 0.20 $ 0.12 $ 0.19 $ 0.21 Net income per common share — Diluted 0.20 0.11 0.19 0.20 Three months ended December 31, September 30, June 30, March 31, (dollar amounts in thousands, except per share data) 2015 2015 2015 2015 Interest income $ 544,153 $ 538,477 $ 529,795 $ 502,096 Interest expense 47,242 43,022 39,109 34,411 Net interest income 496,911 495,455 490,686 467,685 Provision for credit losses 36,468 22,476 20,419 20,591 Noninterest income 272,215 253,119 281,773 231,623 Noninterest expense 498,766 526,508 491,777 458,857 Income before income taxes 233,892 199,590 260,263 219,860 Provision for income taxes 55,583 47,002 64,057 54,006 Net income 178,309 152,588 196,206 165,854 Dividends on preferred shares 7,972 7,968 7,968 7,965 Net income applicable to common shares $ 170,337 $ 144,620 $ 188,238 $ 157,889 Net income per common share — Basic $ 0.21 $ 0.18 $ 0.23 $ 0.19 Net income per common share — Diluted 0.21 0.18 0.23 0.19 |
SUBSEQUENT EVENTS (Notes)
SUBSEQUENT EVENTS (Notes) | 12 Months Ended |
Dec. 31, 2016 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTS |
SIGNIFICANT ACCOUNTING POLICI35
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation — The Consolidated Financial Statements include the accounts of Huntington and its majority-owned subsidiaries and are presented in accordance with GAAP. All intercompany transactions and balances have been eliminated in consolidation. Companies in which Huntington holds more than a 50% voting equity interest, or a controlling financial interest, or are a VIE in which Huntington has the power to direct the activities of an entity that most significantly impact the entity’s economic performance and has an obligation to absorb losses or the right to receive benefits from the VIE which could potentially be significant to the VIE are consolidated. VIEs are legal entities with insubstantial equity, whose equity investors lack the ability to make decisions about the entity’s activities, or whose equity investors do not have the obligation to absorb losses or the right to receive the residual returns of the entity if they occur. VIEs in which Huntington does not hold the power to direct the activities of the entity that most significantly impact the entity’s economic performance or does not have an obligation to absorb losses or the right to receive benefits from the VIE which could potentially be significant to the VIE are not consolidated. For consolidated entities where Huntington holds less than a 100% interest, Huntington recognizes non-controlling interest (included in shareholders’ equity) for the equity held by others and non-controlling profit or loss (included in noninterest expense) for the portion of the entity’s earnings attributable to other’s interests. Investments in companies that are not consolidated are accounted for using the equity method when Huntington has the ability to exert significant influence. Those investments in nonmarketable securities for which Huntington does not have the ability to exert significant influence are generally accounted for using the cost method. Investments in private investment partnerships that are accounted for under the equity method or the cost method are included in Accrued income and other assets and Huntington’s proportional interest in the equity investments’ earnings are included in other noninterest income. Investment interests accounted for under the cost and equity methods are periodically evaluated for impairment. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that significantly affect amounts reported in the Consolidated Financial Statements. Huntington utilizes processes that involve the use of significant estimates and the judgments of management in determining the amount of its allowance for credit losses, income taxes deferred tax assets, and contingent liabilities, as well as fair value measurements of investment securities, derivatives, goodwill, other intangible assets, pension assets and liabilities, short-term borrowings, mortgage servicing rights, and loans held for sale. As with any estimate, actual results could differ from those estimates. For statements of cash flows purposes, cash and cash equivalents are defined as the sum of Cash and due from banks, which includes amounts on deposit with the Federal Reserve and Federal funds sold and securities purchased under resale agreements. Certain prior period amounts have been reclassified to conform to the current year’s presentation. |
Resale and Repurchase Agreements | Resale and Repurchase Agreements — Securities purchased under agreements to resell and securities sold under agreements to repurchase are treated as collateralized financing transactions and are recorded at the amounts at which the securities were acquired or sold plus accrued interest. The fair value of collateral either received from or provided to a third-party is continually monitored and additional collateral is obtained or requested to be returned to Huntington in accordance with the agreement. |
Securities | Securities — Securities purchased with the intention of recognizing short-term profits or which are actively bought and sold are classified as trading account securities and reported at fair value. The unrealized gains or losses on trading account securities are recorded in other noninterest income, except for gains and losses on trading account securities used to economically hedge the fair value of MSRs, which are included in mortgage banking income. Debt securities purchased in which Huntington has the positive intent and ability to hold to their maturity are classified as held-to-maturity securities. Held-to-maturity securities are recorded at amortized cost. All other debt and equity securities are classified as available-for-sale and other securities. Unrealized gains or losses on available-for-sale and other securities are reported as a separate component of accumulated OCI in the Consolidated Statements of Changes in Shareholders’ Equity. Credit-related declines in the value of debt securities that are considered OTTI are recorded in noninterest income. Huntington evaluates its investment securities portfolio on a quarterly basis for indicators of OTTI. Huntington assesses whether OTTI has occurred when the fair value of a debt security is less than the amortized cost basis at the balance sheet date. Management reviews the amount of unrealized loss, the length of time the security has been in an unrealized loss position, the credit rating history, market trends of similar security classes, time remaining to maturity, and the source of both interest and principal payments to identify securities which could potentially be impaired. For those debt securities that Huntington intends to sell or is more likely than not required to sell, before the recovery of their amortized cost bases, the difference between fair value and amortized cost is considered to be OTTI and is recognized in noninterest income. For those debt securities that Huntington does not intend to sell or is not more likely than not required to sell, prior to expected recovery of amortized cost bases, the credit portion of the OTTI is recognized in noninterest income while the noncredit portion is recognized on OCI. In determining the credit portion, Huntington uses a discounted cash flow analysis, which includes evaluating the timing and amount of the expected cash flows. Non-credit-related OTTI results from other factors, including increased liquidity spreads and higher interest rates. Presentation of OTTI is made in the Consolidated Statements of Income on a gross basis with a reduction for the amount of OTTI recognized in OCI. Securities transactions are recognized on the trade date (the date the order to buy or sell is executed). The carrying value plus any related accumulated OCI balance of sold securities is used to compute realized gains and losses. Interest and dividends on securities, including amortization of premiums and accretion of discounts using the effective interest method over the period to maturity, are included in interest income. Nonmarketable equity securities include stock acquired for regulatory purposes, such as Federal Home Loan Bank stock and Federal Reserve Bank stock. These securities are accounted for at cost, evaluated for impairment, and included in available-for-sale and other securities. |
Loans and Leases | Loans and Leases — Loans and direct financing leases for which Huntington has the intent and ability to hold for the foreseeable future, or until maturity or payoff, are classified in the Consolidated Balance Sheets as loans and leases. Except for loans for which the fair value option has been elected, loans and leases are carried at the principal amount outstanding, net of unamortized deferred loan origination fees and costs and net of unearned income. Direct financing leases are reported at the aggregate of lease payments receivable and estimated residual values, net of unearned and deferred income. Interest income is accrued as earned using the interest method based on unpaid principal balances. Huntington defers the fees it receives from the origination of loans and leases, as well as the direct costs of those activities. Huntington also acquires loans at a premium and at a discount to their contractual values. Huntington amortizes loan discounts, premiums, and net loan origination fees and costs on a level-yield basis over the contractual lives of the related loans, which would not include purchased credit impaired loans. Troubled debt restructurings are loans for which the original contractual terms have been modified to provide a concession to a borrower experiencing financial difficulties. Loan modifications are considered TDRs when the concessions provided are not available to the borrower through either normal channels or other sources. However, not all loan modifications are TDRs. Modifications resulting in troubled debt restructurings may include changes to one or more terms of the loan, including but not limited to, a change in interest rate, an extension of the repayment period, a reduction in payment amount, and partial forgiveness or deferment of principal or accrued interest. Residual values on leased equipment are evaluated quarterly for impairment. Impairment of the residual values of direct financing leases determined to be other than temporary is recognized by writing the leases down to fair value with a charge to other noninterest expense. Leased equipment residual value impairment will arise if the expected fair value is less than the carrying amount, net of estimated amounts reimbursable by the lessee. Future declines in the expected residual value of the leased equipment would result in expected losses of the leased equipment. For leased equipment, the residual component of a direct financing lease represents the estimated fair value of the leased equipment at the end of the lease term. Huntington uses industry data, historical experience, and independent appraisals to establish these residual value estimates. Additional information regarding product life cycle, product upgrades, as well as insight into competing products are obtained through relationships with industry contacts and are factored into residual value estimates where applicable. |
Loans Held for Sale | Loans Held for Sale — Loans in which Huntington does not have the intent and ability to hold for the foreseeable future are classified as loans held for sale. Loans held for sale (excluding loans originated or acquired with the intent to sell, which are carried at fair value) are carried at the lower of cost or fair value less cost to sell. The fair value option is generally elected for mortgage loans held for sale to facilitate hedging of the loans. The fair value of such loans is estimated based on the inputs that include prices of mortgage backed securities adjusted for other variables such as, interest rates, expected credit defaults and market discount rates. The adjusted value reflects the price we expect to receive from the sale of such loans. |
Allowance for Credit Losses | Allowance for Credit Losses — Huntington maintains two reserves, both of which reflect management’s judgment regarding the appropriate level necessary to absorb credit losses inherent in our loan and lease portfolio: the ALLL and the AULC. Combined, these reserves comprise the total ACL. The determination of the ACL requires significant estimates, including the timing and amounts of expected future cash flows on impaired loans and leases, consideration of current economic conditions, and historical loss experience pertaining to pools of homogeneous loans and leases, all of which may be susceptible to change. The appropriateness of the ACL is based on management’s current judgments about the credit quality of the loan portfolio. These judgments consider on-going evaluations of the loan and lease portfolio, including such factors as the differing economic risks associated with each loan category, the financial condition of specific borrowers, the level of delinquent loans, the value of any collateral and, where applicable, the existence of any guarantees or other documented support. Further, management evaluates the impact of changes in interest rates and overall economic conditions on the ability of borrowers to meet their financial obligations when quantifying our exposure to credit losses and assessing the appropriateness of our ACL at each reporting date. In addition to general economic conditions and the other factors described above, additional factors also considered include: the impact of increasing or decreasing commercial real estate values and the development of new or expanded Commercial business segments. Also, the ACL assessment includes the on-going assessment of credit quality metrics, and a comparison of certain ACL benchmarks to current performance. The ALLL consists of two components: (1) the transaction reserve, which includes a loan level allocation, specific reserves related to loans considered to be impaired, and loans involved in troubled debt restructurings, and (2) the general reserve. The transaction reserve component includes both (1) an estimate of loss based on pools of commercial and consumer loans and leases with similar characteristics and (2) an estimate of loss based on an impairment review of each impaired C&I and CRE loan where obligor balance is greater than $1.0 million . For the C&I and CRE portfolios, the estimate of loss based on pools of loans and leases with similar characteristics is made by applying a PD factor and a LGD factor to each individual loan based on a regularly updated loan grade, using a standardized loan grading system. The PD factor and an LGD factor are determined for each loan grade using statistical models based on historical performance data. The PD factor considers on-going reviews of the financial performance of the specific borrower, including cash flow, debt-service coverage ratio, earnings power, debt level, and equity position, in conjunction with an assessment of the borrower’s industry and future prospects. The LGD factor considers analysis of the type of collateral and the relative LTV ratio. These reserve factors are developed based on credit migration models that track historical movements of loans between loan ratings over time and a combination of long-term average loss experience of our own portfolio and external industry data. In the case of more homogeneous portfolios, such as automobile loans, home equity loans, and residential mortgage loans, the determination of the transaction reserve also incorporates PD and LGD factors. The estimate of loss is based on pools of loans and leases with similar characteristics. The PD factor considers current credit scores unless the account is delinquent, in which case a higher PD factor is used. The credit score provides a basis for understanding the borrower’s past and current payment performance, and this information is used to estimate expected losses over the emergence period. The performance of first-lien loans ahead of our junior-lien loans is available to use as part of our updated score process. The LGD factor considers analysis of the type of collateral and the relative LTV ratio. Credit scores, models, analyses, and other factors used to determine both the PD and LGD factors are updated frequently to capture the recent behavioral characteristics of the subject portfolios, as well as any changes in loss mitigation or credit origination strategies, and adjustments to the reserve factors are made as required. The general reserve consists of various risk-profile reserve components. The risk-profile component considers items unique to our structure, policies, processes, and portfolio composition, as well as qualitative measurements and assessments of the loan portfolios including, but not limited to, management quality, concentrations, portfolio composition, industry comparisons, and internal review functions. The estimate for the AULC is determined using the same procedures and methodologies as used for the ALLL. The loss factors used in the AULC are the same as the loss factors used in the ALLL while also considering a historical utilization of unused commitments. The AULC is recorded in Accrued expenses and other liabilities in the Consolidated Balance Sheets. |
Nonaccrual and Past Due Loans | Nonaccrual and Past Due Loans — Loans are considered past due when the contractual amounts due with respect to principal and interest are not received within 30 days of the contractual due date. Any loan in any portfolio may be placed on nonaccrual status prior to the policies described below when collection of principal or interest is in doubt. When a borrower with debt is discharged in a Chapter 7 bankruptcy and not reaffirmed by the borrower, the loan is determined to be collateral dependent and placed on nonaccrual status, unless there is a co-borrower. All classes within the C&I and CRE portfolios (except for purchased credit-impaired loans) are placed on nonaccrual status at 90 -days past due. First-lien home equity loans are placed on nonaccrual status at 150 -days past due. Junior-lien home equity loans are placed on nonaccrual status at the earlier of 120 -days past due or when the related first-lien loan has been identified as nonaccrual. Automobile and other consumer loans are generally charged-off when the loan is 120 -days past due. Residential mortgage loans are placed on nonaccrual status at 150 -days past due, with the exception of residential mortgages guaranteed by government agencies which continue to accrue interest at the rate guaranteed by the government agency. We are reimbursed from the government agency for reasonable expenses incurred in servicing loans. For all classes within all loan portfolios, when a loan is placed on nonaccrual status, any accrued interest income is reversed with current year accruals charged to interest income, and prior year amounts charged-off as a credit loss. For all classes within all loan portfolios, cash receipts on NALs are applied against principal until the loan or lease has been collected in full, including charged-off portion, after which time any additional cash receipts are recognized as interest income. However, for secured non-reaffirmed debt in a Chapter 7 bankruptcy, payments are applied to principal and interest when the borrower has demonstrated a capacity to continue payment of the debt and collection of the debt is reasonably assured. For unsecured non-reaffirmed debt in a Chapter 7 bankruptcy where the carrying value has been fully charged-off, payments are recorded as loan recoveries. Regarding all classes within the C&I and CRE portfolios, the determination of a borrower’s ability to make the required principal and interest payments is based on an examination of the borrower’s current financial statements, industry, management capabilities, and other qualitative measures. For all classes within the consumer loan portfolio, the determination of a borrower’s ability to make the required principal and interest payments is based on multiple factors, including number of days past due and, in some instances, an evaluation of the borrower’s financial condition. When, in management’s judgment, the borrower’s ability to make required principal and interest payments resumes and collectability is no longer in doubt, supported by sustained repayment history, the loan is returned to accrual status. For these loans that have been returned to accrual status, cash receipts are applied according to the contractual terms of the loan. |
Charge-off of Uncollectible Loans | Charge-off of Uncollectible Loans — Any loan in any portfolio may be charged-off prior to the policies described below if a loss confirming event has occurred. Loss confirming events include, but are not limited to, bankruptcy (unsecured), continued delinquency, foreclosure, or receipt of an asset valuation indicating a collateral deficiency and that asset is the sole source of repayment. Additionally, discharged, collateral dependent non-reaffirmed debt in Chapter 7 bankruptcy filings will result in a charge-off to estimated collateral value, less anticipated selling costs. C&I and CRE loans are either charged-off or written down to net realizable value at 90 -days past due. Automobile loans and other consumer loans are charged-off at 120 -days past due. First-lien and junior-lien home equity loans are charged-off to the estimated fair value of the collateral, less anticipated selling costs, at 150 -days past due and 120 -days past due, respectively. Residential mortgages are charged-off to the estimated fair value of the collateral at 150 -days past due. |
Impaired Loans | Impaired Loans — For all classes within the C&I and CRE portfolios, all loans with an obligor balance of $1.0 million or greater are evaluated on a quarterly basis for impairment. Except for TDRs, consumer loans within any class are generally not individually evaluated on a regular basis for impairment. All TDRs, regardless of the outstanding balance amount, are also considered to be impaired. Loans acquired with evidence of deterioration in credit quality since origination for which it is probable at acquisition that all contractually required payments will not be collected are also considered to be impaired. Once a loan has been identified for an assessment of impairment, the loan is considered impaired when, based on current information and events, it is probable that all amounts due according to the contractual terms of the loan agreement will not be collected. This determination requires significant judgment and use of estimates, and the eventual outcome may differ significantly from those estimates. When a loan in any class has been determined to be impaired, the amount of the impairment is measured using the present value of expected future cash flows discounted at the loan’s effective interest rate or, as a practical expedient, the observable market price of the loan, or the fair value of the collateral, less anticipated selling costs, if the loan is collateral dependent. When the present value of expected future cash flows is used, the effective interest rate is the original contractual interest rate of the loan adjusted for any cost, fee, premium, or discount. When the contractual interest rate is variable, the effective interest rate of the loan changes over time. A specific reserve is established as a component of the ALLL when a loan has been determined to be impaired. Subsequent to the initial measurement of impairment, if there is a significant change to the impaired loan’s expected future cash flows, or if actual cash flows are significantly different from the cash flows previously estimated, Huntington recalculates the impairment and appropriately adjusts the specific reserve. Similarly, if Huntington measures impairment based on the observable market price of an impaired loan or the fair value of the collateral of an impaired collateral dependent loan, Huntington will adjust the specific reserve. When a loan within any class is impaired, the accrual of interest income is discontinued unless the receipt of principal and interest is no longer in doubt. Interest income on TDRs is accrued when all principal and interest is expected to be collected under the post-modification terms. Cash receipts on nonaccruing impaired loans within any class are generally applied entirely against principal until the loan has been collected in full (including already charged-off portion), after which time any additional cash receipts are recognized as interest income. Cash receipts on accruing impaired loans within any class are applied in the same manner as accruing loans that are not considered impaired. Purchased Credit-Impaired Loans — Purchased loans with evidence of deterioration in credit quality since origination for which it is probable at acquisition that we will be unable to collect all contractually required payments are considered to be credit impaired. Purchased credit-impaired loans are initially recorded at fair value, which is estimated by discounting the cash flows expected to be collected at the acquisition date. Because the estimate of expected cash flows reflects an estimate of future credit losses expected to be incurred over the life of the loans, an allowance for credit losses is not recorded at the acquisition date. The excess of cash flows expected at acquisition over the estimated fair value, referred to as the accretable yield, is recognized in interest income over the remaining life of the loan, or pool of loans, on a level-yield basis. The difference between the contractually required payments at acquisition and the cash flows expected to be collected at acquisition is referred to as the nonaccretable difference. A subsequent decrease in the estimate of cash flows expected to be received on purchased credit-impaired loans generally results in the recognition of an allowance for credit losses. Subsequent increases in cash flows result in reversal of any nonaccretable difference (or allowance for loan and lease losses to the extent any has been recorded) with a positive impact on interest income subsequently recognized. The measurement of cash flows involves assumptions and judgments for interest rates, prepayments, default rates, loss severity, and collateral values. All of these factors are inherently subjective and significant changes in the cash flow estimates over the life of the loan can result. |
Transfers of Financial Assets and Securitizations | Transfers of Financial Assets and Securitizations — Transfers of financial assets in which we have surrendered control over the transferred assets are accounted for as sales. In assessing whether control has been surrendered, we consider whether the transferee would be a consolidated affiliate, the existence and extent of any continuing involvement in the transferred financial assets, and the impact of all arrangements or agreements made contemporaneously with, or in contemplation of, the transfer, even if they were not entered into at the time of transfer. Control is generally considered to have been surrendered when (i) the transferred assets have been legally isolated from us or any of our consolidated affiliates, even in bankruptcy or other receivership, (ii) the transferee (or, if the transferee is an entity whose sole purpose is to engage in securitization or asset-backed financing that is constrained from pledging or exchanging the assets it receives, each third-party holder of its beneficial interests) has the right to pledge or exchange the assets (or beneficial interests) it received without any constraints that provide more than a trivial benefit to us, and (iii) neither we nor our consolidated affiliates and agents have (a) both the right and obligation under any agreement to repurchase or redeem the transferred assets before their maturity, (b) the unilateral ability to cause the holder to return specific financial assets that also provides us with a more-than-trivial benefit (other than through a cleanup call) or (c) an agreement that permits the transferee to require us to repurchase the transferred assets at a price so favorable that it is probable that it will require us to repurchase them. If the sale criteria are met, the transferred financial assets are removed from our balance sheet and a gain or loss on sale is recognized. If the sale criteria are not met, the transfer is recorded as a secured borrowing in which the assets remain on our balance sheet and the proceeds from the transaction are recognized as a liability. For the majority of financial asset transfers, it is clear whether or not we have surrendered control. For other transfers, such as in connection with complex transactions or where we have continuing involvement, we generally obtain a legal opinion as to whether the transfer results in a true sale by law. From time to time we securitize certain automobile receivables. Gains and losses on the loans and leases sold and servicing rights associated with loan and lease sales are determined when the related loans or leases are sold to either a securitization trust or third-party. For loan or lease sales with servicing retained, a servicing asset is recorded at fair value for the right to service the loans sold. |
Derivative Financial Instruments | Derivative Financial Instruments — A variety of derivative financial instruments, principally interest rate swaps, caps, floors, and collars, are used in asset and liability management activities to protect against the risk of adverse price or interest rate movements. These instruments provide flexibility in adjusting Huntington’s sensitivity to changes in interest rates without exposure to loss of principal and higher funding requirements. Huntington also uses derivatives, principally loan sale commitments, in hedging its mortgage loan interest rate lock commitments and its mortgage loans held for sale. Mortgage loan sale commitments and the related interest rate lock commitments are carried at fair value on the Consolidated Balance Sheets with changes in fair value reflected in mortgage banking income. Huntington also uses certain derivative financial instruments to offset changes in value of its MSRs. These derivatives consist primarily of forward interest rate agreements and forward mortgage contracts. The derivative instruments used are not designated as qualifying hedges. Accordingly, such derivatives are recorded at fair value with changes in fair value reflected in mortgage banking income. Derivative financial instruments are recorded in the Consolidated Balance Sheets as either an asset or a liability (in accrued income and other assets or accrued expenses and other liabilities, respectively) and measured at fair value. On the date a derivative contract is entered into, we designate it as either: • a qualifying hedge of the fair value of a recognized asset or liability or of an unrecognized firm commitment (fair value hedge); • a qualifying hedge of the variability of cash flows to be received or paid related to a recognized asset liability or forecasted transaction (cash flow hedge); or • a trading instrument or a non-qualifying (economic) hedge. Changes in the fair value of a derivative that has been designated and qualifies as a fair value hedge, along with the changes in the fair value of the hedged asset or liability that is attributable to the hedged risk, are recorded in current period earnings. Changes in the fair value of a derivative that has been designated and qualifies as a cash flow hedge, to the extent effective as a hedge, are recorded in accumulated other comprehensive income, net of income taxes, and reclassified into earnings in the period during which the hedged item affects earnings. Ineffectiveness in the hedging relationship is reflected in current period earnings. Changes in the fair value of derivatives held for trading purposes or which do not qualify for hedge accounting are reported in current period earnings. For those derivatives to which hedge accounting is applied, Huntington formally documents the hedging relationship and the risk management objective and strategy for undertaking the hedge. This documentation identifies the hedging instrument, the hedged item or transaction, the nature of the risk being hedged, and, unless the hedge meets all of the criteria to assume there is no ineffectiveness, the method that will be used to assess the effectiveness of the hedging instrument and how ineffectiveness will be measured. The methods utilized to assess retrospective hedge effectiveness, as well as the frequency of testing, vary based on the type of item being hedged and the designated hedge period. For specifically designated fair value hedges of certain fixed-rate debt, Huntington utilizes the short-cut method when certain criteria are met. For other fair value hedges of fixed-rate debt, including certificates of deposit, Huntington utilizes the regression method to evaluate hedge effectiveness on a quarterly basis. For fair value hedges of portfolio loans, the regression method is used to evaluate effectiveness on a daily basis. For cash flow hedges, the regression method is applied on a quarterly basis. Hedge accounting is discontinued prospectively when: • the derivative is no longer effective or expected to be effective in offsetting changes in the fair value or cash flows of a hedged item (including firm commitments or forecasted transactions); • the derivative expires or is sold, terminated, or exercised; • it is unlikely that a forecasted transaction will occur; • the hedged firm commitment no longer meets the definition of a firm commitment; or • the designation of the derivative as a hedging instrument is removed. When hedge accounting is discontinued because it is determined that the derivative no longer qualifies as an effective fair value or cash flow hedge, the derivative will continue to be carried on the balance sheet at fair value. In the case of a discontinued fair value hedge of a recognized asset or liability, as long as the hedged item continues to exist on the balance sheet, the hedged item will no longer be adjusted for changes in fair value. The basis adjustment that had previously been recorded to the hedged item during the period from the hedge designation date to the hedge discontinuation date is recognized as an adjustment to the yield of the hedged item over the remaining life of the hedged item. In the case of a discontinued cash flow hedge of a recognized asset or liability, as long as the hedged item continues to exist on the balance sheet, the effective portion of the changes in fair value of the hedging derivative will no longer be recorded to other comprehensive income. The balance applicable to the discontinued hedging relationship will be recognized in earnings over the remaining life of the hedged item as an adjustment to yield. If the discontinued hedged item was a forecasted transaction that is not expected to occur, any amounts recorded on the balance sheet related to the hedged item, including any amounts recorded in accumulated other comprehensive income, are immediately reclassified to current period earnings. In the case of either a fair value hedge or a cash flow hedge, if the previously hedged item is sold or extinguished, the basis adjustment to the underlying asset or liability or any remaining unamortized other comprehensive income balance will be reclassified to current period earnings. In all other situations in which hedge accounting is discontinued, the derivative will be carried at fair value on the consolidated balance sheets, with changes in its fair value recognized in current period earnings unless re-designated as a qualifying hedge. Like other financial instruments, derivatives contain an element of credit risk, which is the possibility that Huntington will incur a loss because the counterparty fails to meet its contractual obligations. Notional values of interest rate swaps and other off-balance sheet financial instruments significantly exceed the credit risk associated with these instruments and represent contractual balances on which calculations of amounts to be exchanged are based. Credit exposure is limited to the sum of the aggregate fair value of positions that have become favorable to Huntington, including any accrued interest receivable due from counterparties. Potential credit losses are mitigated through careful evaluation of counterparty credit standing, selection of counterparties from a limited group of high quality institutions, collateral agreements, and other contract provisions. Huntington considers the value of collateral held and collateral provided in determining the net carrying value of derivatives. Huntington offsets the fair value amounts recognized for derivative instruments and the fair value for the right to reclaim cash collateral or the obligation to return cash collateral arising from derivative instrument(s) recognized at fair value executed with the same counterparty under a master netting arrangement. |
Repossessed Collateral | Repossessed Collateral — Repossessed collateral, also referred to as OREO, is comprised principally of commercial and residential real estate properties obtained in partial or total satisfaction of loan obligations, and is carried at fair value. Collateral obtained in satisfaction of a loan is recorded at the estimated fair value less anticipated selling costs based upon the property’s appraised value at the date of foreclosure, with any difference between the fair value of the property and the carrying value of the loan recorded as a charge-off. If the fair value is higher than the carrying amount of the loan the excess is recognized first as a recovery and then as noninterest income. Subsequent declines in value are reported as adjustments to the carrying amount and are recorded in noninterest expense. Gains or losses resulting from the sale of collateral are recognized in noninterest expense at the date of sale. |
Collateral | Collateral — We pledge assets as collateral as required for various transactions including security repurchase agreements, public deposits, loan notes, derivative financial instruments, short-term borrowings and long-term borrowings. Assets that have been pledged as collateral, including those that can be sold or repledged by the secured party, continue to be reported on our Consolidated Balance Sheets. We also accept collateral, primarily as part of various transactions including derivative and security resale agreements. Collateral accepted by us, including collateral that we can sell or repledge, is excluded from our Consolidated Balance Sheets. The market value of collateral we have accepted or pledged is regularly monitored and additional collateral is obtained or provided as necessary to ensure appropriate collateral coverage in these transactions. |
Premises and Equipment | Premises and Equipment — Premises and equipment are stated at cost, less accumulated depreciation and amortization. Depreciation is computed principally by the straight-line method over the estimated useful lives of the related assets. Buildings and building improvements are depreciated over an average of 30 to 40 years and 10 to 30 years, respectively. Land improvements and furniture and fixtures are depreciated over an average of 5 to 20 years, while equipment is depreciated over a range of 3 to 10 years. Leasehold improvements are amortized over the lesser of the asset’s useful life or the lease term, including any renewal periods for which renewal is reasonably assured. Maintenance and repairs are charged to expense as incurred, while improvements that extend the useful life of an asset are capitalized and depreciated over the remaining useful life. Premises and equipment is evaluated for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. |
Mortgage Servicing Rights | Mortgage Servicing Rights — Huntington recognizes the rights to service mortgage loans as separate assets, which are included in Servicing Rights in the Consolidated Balance Sheets when purchased, or when servicing is contractually separated from the underlying mortgage loans by sale or securitization of the loans with servicing rights retained. For loan sales with servicing retained, a servicing asset is recorded on the day of the sale at fair value for the right to service the loans sold. To determine the fair value of a MSR, Huntington uses an option adjusted spread cash flow analysis incorporating market implied forward interest rates to estimate the future direction of mortgage and market interest rates. The forward rates utilized are derived from the current yield curve for U.S. dollar interest rate swaps and are consistent with pricing of capital markets instruments. The current and projected mortgage interest rate influences the prepayment rate and, therefore, the timing and magnitude of the cash flows associated with the MSR. Servicing revenues on mortgage loans are included in mortgage banking income. At the time of initial capitalization, MSRs may be grouped into servicing classes based on the availability of market inputs used in determining fair value and the method used for managing the risks of the servicing assets. MSR assets are recorded using the fair value method or the amortization method. The election of the fair value or amortization method is made at the time each servicing class is established. All newly created MSRs since 2009 were recorded using the amortization method. Any change in the fair value of MSRs carried under the fair value method, as well as amortization and impairment of MSRs under the amortization method, during the period is recorded in mortgage banking income, which is reflected in the Consolidated Statements of Income. Huntington economically hedges the value of certain MSRs using derivative instruments and trading securities. Changes in fair value of these derivatives and trading securities are reported as a component of mortgage banking income. |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets — Under the acquisition method of accounting, the net assets of entities acquired by Huntington are recorded at their estimated fair value at the date of acquisition. The excess cost of the acquisition over the fair value of net assets acquired is recorded as goodwill. Other intangible assets with finite useful lives are amortized either on an accelerated or straight-line basis over their estimated useful lives. Goodwill is evaluated for impairment on an annual basis at October 1 st of each year or whenever events or changes in circumstances indicate that the carrying value may not be recoverable. Indefinite-lived intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. |
Pension and Other Postretirement Benefits | Pension and Other Postretirement Benefits — We recognize the funded status of the postretirement benefit plans on the Consolidated Balance Sheets. Net postretirement benefit cost charged to current earnings related to these plans is based on various actuarial assumptions regarding expected future experience. Certain employees are participants in various defined contribution and other non-qualified supplemental retirement plans. Our contributions to defined contribution plans are charged to current earnings. In addition, we maintain a 401(k) plan covering substantially all employees. Employer contributions to the plan, which are charged to current earnings, are based on employee contributions. |
Share-Based Compensation | Share-Based Compensation — We use the fair value based method of accounting for awards of HBAN stock granted to employees under various stock option and restricted share plans. Stock compensation costs are recognized prospectively for all new awards granted under these plans. Compensation expense relating to share options is calculated using a methodology that is based on the underlying assumptions of the Black-Scholes option pricing model and is charged to expense over the requisite service period (e.g. vesting period). Compensation expense relating to restricted stock awards is based upon the fair value of the awards on the date of grant and is charged to earnings over the requisite service period (e.g., vesting period) of the award. |
Stock Repurchases | Stock Repurchases — Acquisitions of Huntington stock are recorded at cost. The re-issuance of shares is recorded at weighted-average cost. |
Income Taxes | Income Taxes — Income taxes are accounted for under the asset and liability method. Accordingly, deferred tax assets and liabilities are recognized for the future book and tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are determined using enacted tax rates expected to apply in the year in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income at the time of enactment of such change in tax rates. Any interest or penalties due for payment of income taxes are included in the provision for income taxes. To the extent that we do not consider it more likely than not that a deferred tax asset will be recovered, a valuation allowance is recorded. All positive and negative evidence is reviewed when determining how much of a valuation allowance is recognized on a quarterly basis. In determining the requirements for a valuation allowance, sources of possible taxable income are evaluated including future reversals of existing taxable temporary differences, future taxable income exclusive of reversing temporary differences and carryforwards, taxable income in appropriate carryback years, and tax-planning strategies. Huntington applies a more likely than not recognition threshold for all tax uncertainties. |
Bank Owned Life Insurance | Bank Owned Life Insurance — Huntington’s bank owned life insurance policies are recorded at their cash surrender value. Huntington recognizes tax-exempt income from the periodic increases in the cash surrender value of these policies and from death benefits. A portion of the cash surrender value is supported by holdings in separate accounts. Book value protection for the separate accounts is provided by the insurance carriers and a highly rated major bank. |
Fair Value Measurements | Fair Value Measurements — The Company records or discloses certain of its assets and liabilities at fair value. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Fair value measurements are classified within one of three levels in a valuation hierarchy based upon the observability of inputs to the valuation of an asset or liability as of the measurement date. The three levels are defined as follows: Level 1 – inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets. Level 2 – inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument. Level 3 – inputs to the valuation methodology are unobservable and significant to the fair value measurement. A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. |
Segment Results | Segment Results — Accounting policies for the business segments are the same as those used in the preparation of the Consolidated Financial Statements with respect to activities specifically attributable to each business segment. However, the preparation of business segment results requires management to establish methodologies to allocate funding costs and benefits, expenses, and other financial elements to each business segment, which is described in Note 24 . |
Accounting Standards Update | ASU 2014-09—Revenue from Contracts with Customers (Topic 606): The amendments in ASU 2014-09 supersede the revenue recognition requirements in Topic 605, Revenue Recognition, and most industry-specific guidance. The general principle of the amendments require an entity to recognize revenue upon the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The guidance sets forth a five step approach for revenue recognition. The amendments are effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. Management intends to adopt the new guidance on January 1, 2018 using the modified retrospective approach and is well into its outlined implementation plan. In this regard, management has completed a preliminary analysis that includes (a) identification of all revenue streams included in the financial statements; (b) determination of scope exclusions to identify ‘in-scope’ revenue streams; (c) determination of size, timing, and amount of revenue recognition for in-scope items; (d) determination of sample size of contracts for further analysis; and (e) completion of limited analysis on selected contracts to evaluate the potential impact of the new guidance. The key revenue streams identified include service charges, credit card and payment processing fees, trust services fees, insurance income, brokerage services, and mortgage banking income. The new guidance is not expected to have a significant impact on Huntington’s Consolidated Financial Statements. |
Consolidated VIEs | Consolidated VIEs Consolidated VIEs at December 31, 2016 , consisted of certain loan and lease securitization trusts. Huntington has determined the trusts are VIEs. Huntington has concluded that it is the primary beneficiary of these trusts because it has the power to direct the activities of the entity that most significantly affect the entity’s economic performance and it has either the obligation to absorb losses of the entity that could potentially be significant to the VIE or the right to receive benefits from the entity that could potentially be significant to the VIE. |
ACQUISITION OF FIRSTMERIT COR36
ACQUISITION OF FIRSTMERIT CORPORATION (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Business Combinations [Abstract] | |
Schedule of Business Acquisitions, by Acquisition | The following table reflects consideration paid for FirstMerit's net assets and the amounts of acquired identifiable assets and liabilities assumed as of the acquisition date: FirstMerit (dollar amounts in thousands) UPB Fair Value Assets acquired: Cash and due from banks $ 703,661 Interest-bearing deposits in banks 32,496 Loans held for sale 150,576 Available for sale and other securities 7,369,967 Loans and leases: Commercial: Commercial and industrial $ 7,410,503 7,252,692 Commercial real estate 1,898,875 1,844,150 Total commercial 9,309,378 9,096,842 Consumer: Automobile 1,610,007 1,609,145 Home equity 1,579,832 1,537,791 Residential mortgage 1,098,588 1,092,050 RV and marine finance 1,823,312 1,816,575 Other consumer 324,350 323,512 Total consumer 6,436,089 6,379,073 Total loans and leases $ 15,745,467 15,475,915 Bank owned life insurance 633,612 Premises and equipment 228,635 Goodwill 1,320,818 Core deposit intangible 309,750 Other intangible assets 94,571 Servicing rights 15,317 Accrued income and other assets 506,578 Total assets acquired 26,841,896 Liabilities assumed: Deposits 21,157,172 Short-term borrowings 1,163,851 Long-term debt 519,971 Accrued expenses and other liabilities 292,930 Total liabilities assumed 23,133,924 Total consideration paid $ 3,707,972 Consideration: Cash paid $ 836,879 Fair value of common stock issued 2,766,773 Fair value of preferred stock exchange 104,320 |
Business Acquisition, Pro Forma Information | The following table presents financial information regarding the former FirstMerit operations included in our Consolidated Statements of Income from the date of acquisition (August 16, 2016) through December 31, 2016 under the column “Actual from acquisition date”. The following table also presents unaudited pro forma information as if the entities were combined for the full years ended December 31, 2016 and 2015, respectively under the “Unaudited Pro Forma” columns. The pro forma information does not necessarily reflect the results of operations that would have occurred had Huntington acquired FirstMerit on January 1, 2015. Furthermore, cost savings and other business synergies related to the acquisition are not reflected in the pro forma amounts. Actual from Unaudited Pro Forma for acquisition date through Year Ended December 31, (dollar amounts in thousands) December 31, 2016 2016 2015 Net interest income $ 277,143 $ 2,788,074 $ 2,599,840 Noninterest income 96,217 1,311,490 1,301,798 Net income 82,083 809,142 842,069 |
LOANS AND LEASES AND ALLOWANC37
LOANS AND LEASES AND ALLOWANCE FOR CREDIT LOSSES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Receivables [Abstract] | |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period | The following table reflects the contractually required payments receivable, cash flows expected to be collected, and fair value of the credit impaired FirstMerit loans at acquisition date: (dollar amounts in thousands) August 16, Contractually required payments including interest $ 283,947 Less: nonaccretable difference (84,315 ) Cash flows expected to be collected 199,632 Less: accretable yield (17,717 ) Fair value of loans acquired $ 181,915 |
Schedule of financing receivable portfolio segments | |
Lease financing receivables | Net investments in lease financing receivables by category at December 31, 2016 and 2015 were as follows: At December 31, (dollar amounts in thousands) 2016 2015 Commercial and industrial: Lease payments receivable $ 1,881,596 $ 1,551,885 Estimated residual value of leased assets 797,611 711,181 Gross investment in commercial lease financing receivables 2,679,207 2,263,066 Net deferred origination costs 12,683 7,068 Deferred fees (253,423 ) (208,669 ) Total net investment in commercial lease financing receivables $ 2,438,467 $ 2,061,465 |
Loans acquired with deteriorated credit quality | The following table presents a rollforward of the accretable yield for purchased credit impaired FirstMerit loans for the year ended December 31, 2016 : and 2015 : (dollar amounts in thousands) 2016 Balance, beginning of period $ — Impact of acquisition/purchase on August 16, 2016 17,717 Accretion (5,401 ) Reclassification (to) from nonaccretable difference 24,353 Balance at December 31, $ 36,669 The following table reflects the ending and unpaid balances of the FirstMerit purchased credit-impaired loans at December 31, 2016 : 2015 December 31, 2016 (dollar amounts in thousands) Ending Unpaid Commercial and industrial $ 68,338 $ 100,031 Commercial real estate 34,042 56,320 Total $ 102,380 $ 156,351 |
Loan Purchases and Sales | The following table summarizes significant portfolio loan purchase and sale activity for the years ended December 31, 2016 and 2015 . The table below excludes mortgage loans originated for sale. (dollar amounts in thousands) 2016 2015 Portfolio loans and leases purchased or transferred from held for sale: Commercial and industrial $ 394,579 $ 316,252 Commercial real estate — — Automobile — — Home equity — — Residential mortgage 16,045 20,463 RV and marine finance — — Other consumer — — Total $ 410,624 $ 336,715 Portfolio loans and leases sold or transferred to loans held for sale: Commercial and industrial $ 1,293,711 (1 ) $ 380,713 Commercial real estate 76,965 (2 ) — Automobile 1,544,642 764,540 (3) Home equity — 96,786 Residential mortgage — — RV and marine finance — — Other consumer — — Total $ 2,915,318 $ 1,242,039 (1) Reflects the transfer of approximately $1.0 billion of loans to loans held-for-sale in the 2016 third quarter, net of approximately $341 million of loans transferred back to loans held for investment in the 2016 fourth quarter. (2) Reflects the transfer of approximately $124 million of loans to loans held-for-sale in the 2016 third quarter, net of approximately $47 million of loans transferred back to loans held for investment in the 2016 fourth quarter. (3) Reflects the transfer of approximately $1.0 billion of loans to loans held-for-sale during the 2015 first quarter, net of approximately $262 million of loans transferred to loans and leases in the 2015 second quarter. |
Nonaccrual loans by loan class | The following table presents NALs by loan class at December 31, 2016 and 2015 : December 31, (dollar amounts in thousands) 2016 2015 Commercial and industrial $ 234,184 $ 175,195 Commercial real estate 20,508 28,984 Automobile 5,766 6,564 Home equity 71,798 66,278 Residential mortgage 90,502 94,560 RV and marine finance 245 — Other consumer — — Total nonaccrual loans $ 423,003 $ 371,581 |
Aging analysis of loans and leases | The following table presents an aging analysis of loans and leases, including past due loans and leases, by loan class at December 31, 2016 and 2015 (1): December 31, 2016 Past Due Loans Accounted for Under the Fair Value Option Total Loans 90 or (dollar amounts in thousands) 30-59 60-89 90 or Total Current Purchased Credit Impaired Commercial and industrial $ 42,052 $ 20,136 $ 74,174 $ 136,362 $ 27,854,012 $ 68,338 $ — $ 28,058,712 $ 18,148 (2) Commercial real estate 21,187 3,202 29,659 54,048 7,212,811 34,042 — 7,300,901 17,215 Automobile loans and leases 76,283 17,188 10,442 103,913 10,862,715 — 2,154 10,968,782 10,182 Home equity 38,899 23,903 53,002 115,804 9,986,697 — 3,273 10,105,774 11,508 Residential mortgage 122,469 37,460 116,682 276,611 7,373,414 — 74,936 7,724,961 66,952 RV and marine finance 10,009 2,230 1,566 13,805 1,831,123 — 1,519 1,846,447 1,462 Other consumer 9,442 4,324 3,894 17,660 938,322 — 437 956,419 3,895 Total loans and leases $ 320,341 $ 108,443 $ 289,419 $ 718,203 $ 66,059,094 $ 102,380 $ 82,319 $ 66,961,996 $ 129,362 December 31, 2015 Past Due Total Loans 90 or (dollar amounts in thousands) 30-59 60-89 90 or Total Current Commercial and industrial $ 44,715 $ 13,580 $ 46,978 $ 105,273 $ 20,454,561 $ 20,559,834 $ 8,724 (2) Commercial real estate 9,232 5,721 21,666 36,619 5,232,032 5,268,651 9,549 Automobile loans and leases 69,553 14,965 7,346 91,864 9,388,814 9,480,678 7,162 Home equity 36,477 16,905 56,300 109,682 8,360,800 8,470,482 9,044 Residential mortgage 102,773 34,298 119,354 256,425 5,741,975 5,998,400 69,917 RV and marine finance — — — — — — — Other consumer 6,469 1,852 1,395 9,716 553,338 563,054 1,394 Total loans and leases $ 269,219 $ 87,321 $ 253,039 $ 609,579 $ 49,731,520 $ 50,341,099 $ 105,790 (1) NALs are included in this aging analysis based on the loan’s past due status. (2) Amounts include Huntington Technology Finance administrative lease delinquencies. |
ALLL and AULC activity by portfolio segment | The following table presents ALLL and AULC activity by portfolio segment for the years ended December 31, 2016 , 2015 , and 2014 : (dollar amounts in thousands) Commercial Consumer Total Year ended December 31, 2016: ALLL balance, beginning of period $ 398,753 $ 199,090 $ 597,843 Loan charge-offs (91,914 ) (135,400 ) (227,314 ) Recoveries of loans previously charged-off 73,138 45,280 118,418 Provision (reduction in allowance) for loan and lease losses 84,381 85,026 169,407 Allowance for loans sold or transferred to loans held for sale (13,267 ) (6,674 ) (19,941 ) ALLL balance, end of period $ 451,091 $ 187,322 $ 638,413 AULC balance, beginning of period $ 63,448 $ 8,633 $ 72,081 Provision (reduction in allowance) for unfunded loan commitments and letters of credit 18,692 2,703 21,395 AULC recorded at acquisition 4,403 — 4,403 AULC balance, end of period $ 86,543 $ 11,336 $ 97,879 ACL balance, end of period $ 537,634 $ 198,658 $ 736,292 Year ended December 31, 2015: ALLL balance, beginning of period $ 389,834 $ 215,362 $ 605,196 Loan charge-offs (97,800 ) (120,081 ) (217,881 ) Recoveries of loans previously charged-off 86,419 43,669 130,088 Provision (reduction in allowance) for loan and lease losses 20,300 68,379 88,679 Allowance for loans sold or transferred to loans held for sale — (8,239 ) (8,239 ) ALLL balance, end of period $ 398,753 $ 199,090 $ 597,843 AULC balance, beginning of period $ 55,029 $ 5,777 $ 60,806 Provision (reduction in allowance) for unfunded loan commitments and letters of credit 8,419 2,856 11,275 AULC recorded at acquisition — — — AULC balance, end of period $ 63,448 $ 8,633 $ 72,081 ACL balance, end of period $ 462,201 $ 207,723 $ 669,924 Year ended December 31, 2014: ALLL balance, beginning of period $ 428,358 $ 219,512 $ 647,870 Loan charge-offs (101,358 ) (145,243 ) (246,601 ) Recoveries of loans previously charged-off 78,602 43,372 121,974 Provision (reduction in allowance) for loan and lease losses (15,768 ) 98,850 83,082 Allowance for loans sold or transferred to loans held for sale — (1,129 ) (1,129 ) ALLL balance, end of period $ 389,834 $ 215,362 $ 605,196 AULC balance, beginning of period $ 59,487 $ 3,412 $ 62,899 Provision (reduction in allowance) for unfunded loan commitments and letters of credit (4,458 ) 2,365 (2,093 ) AULC recorded at acquisition — — — AULC balance, end of period $ 55,029 $ 5,777 $ 60,806 ACL balance, end of period $ 444,863 $ 221,139 $ 666,002 |
Loan and lease balances by credit quality indicator | The following table presents each loan and lease class by credit quality indicator at December 31, 2016 and 2015 : December 31, 2016 Credit Risk Profile by UCS Classification (dollar amounts in thousands) Pass OLEM Substandard Doubtful Total Commercial and industrial $ 26,211,885 $ 810,287 $ 1,028,819 $ 7,721 $ 28,058,712 Commercial real estate 7,042,304 96,975 159,098 2,524 7,300,901 Credit Risk Profile by FICO Score (1), (2) 750+ 650-749 <650 Other (3) Total Automobile 5,369,085 4,043,611 1,298,460 255,472 10,966,628 Home equity 6,280,328 2,891,330 637,560 293,283 10,102,501 Residential mortgage 4,662,777 2,285,121 615,067 87,060 7,650,025 RV and marine finance 1,064,143 644,039 72,995 63,751 1,844,928 Other consumer 346,867 455,959 133,243 19,913 955,982 December 31, 2015 Credit Risk Profile by UCS Classification (dollar amounts in thousands) Pass OLEM Substandard Doubtful Total Commercial and industrial $ 19,257,789 $ 399,339 $ 895,577 $ 7,129 $ 20,559,834 Commercial real estate 5,066,054 79,787 121,167 1,643 5,268,651 Credit Risk Profile by FICO Score (1), (2) 750+ 650-749 <650 Other (3) Total Automobile 4,680,684 3,454,585 1,086,914 258,495 9,480,678 Home equity 5,210,741 2,466,425 582,326 210,990 8,470,482 Residential mortgage 3,564,064 1,813,779 567,984 52,573 5,998,400 RV and marine finance — — — — — Other consumer 233,969 269,746 49,650 9,689 563,054 (1) Excludes loans accounted for under the fair value option. (2) Reflects most recent customer credit scores. (3) Reflects deferred fees and costs, loans in process, loans to legal entities, etc. |
Summarized data for impaired loans and the related ALLL by portfolio segment | The following tables present the balance of the ALLL attributable to loans by portfolio segment individually and collectively evaluated for impairment and the related loan and lease balance for the years ended December 31, 2016 and 2015 : (dollar amounts in thousands) Commercial Consumer Total ALLL at December 31, 2016: Portion of ALLL balance: Attributable to loans individually evaluated for impairment $ 10,525 $ 11,021 $ 21,546 Attributable to loans collectively evaluated for impairment 440,566 176,301 616,867 Total ALLL balance $ 451,091 $ 187,322 $ 638,413 Loan and Lease Ending Balances at December 31, 2016: (1) Portion of loan and lease ending balance: Attributable to purchased credit-impaired loans $ 102,380 $ — $ 102,380 Individually evaluated for impairment 415,624 457,890 873,514 Collectively evaluated for impairment 34,841,609 31,062,174 65,903,783 Total loans and leases evaluated for impairment $ 35,359,613 $ 31,520,064 $ 66,879,677 (1) Excludes loans accounted for under the fair value option. (dollar amounts in thousands) Commercial Consumer Total ALLL at December 31, 2015: Portion of ALLL balance: Attributable to purchased credit-impaired loans $ 2,602 $ 127 $ 2,729 Attributable to loans individually evaluated for impairment 27,428 35,008 62,436 Attributable to loans collectively evaluated for impairment 368,723 163,955 532,678 Total ALLL balance: $ 398,753 $ 199,090 $ 597,843 Loan and Lease Ending Balances at December 31, 2015: (1) Portion of loan and lease ending balances: Attributable to purchased credit-impaired loans $ 34,775 $ 1,506 $ 36,281 Individually evaluated for impairment 626,010 651,778 1,277,788 Collectively evaluated for impairment 25,167,700 23,859,330 49,027,030 Total loans and leases evaluated for impairment $ 25,828,485 $ 24,512,614 $ 50,341,099 |
Detailed impaired loan information by class | The following tables present by class the ending, unpaid principal balance, and the related ALLL, along with the average balance and interest income recognized only for impaired loans and leases and purchased credit-impaired loans for the years ended December 31, 2016 and 2015 (1): Year Ended December 31, 2016 December 31, 2016 (dollar amounts in thousands) Ending Balance Unpaid Principal Balance (4) Related Allowance Average Balance Interest Income Recognized With no related allowance recorded: Commercial and industrial $ 299,606 $ 358,712 $ — $ 292,567 $ 9,401 Commercial real estate 88,817 126,152 — 73,040 4,191 Automobile — — — — — Home equity — — — — — Residential mortgage — — — — — RV and marine finance — — — — — Other consumer — — — — — With an allowance recorded: Commercial and industrial (2) 406,243 448,121 22,259 301,598 8,124 Commercial real estate (3) 97,238 107,512 3,434 68,865 2,978 Automobile 30,961 31,298 1,850 31,722 2,162 Home equity 319,404 352,722 15,032 277,692 13,410 Residential mortgage (5) 327,753 363,099 12,849 348,158 11,945 RV and marine finance — — — — — Other consumer 3,897 3,897 260 4,481 233 Total Commercial and industrial 705,849 806,833 22,259 594,165 17,525 Commercial real estate 186,055 233,664 3,434 141,905 7,169 Automobile 30,961 31,298 1,850 31,722 2,162 Home equity 319,404 352,722 15,032 277,692 13,410 Residential mortgage 327,753 363,099 12,849 348,158 11,945 RV and marine finance — — — — — Other consumer 3,897 3,897 260 4,481 233 Year Ended December 31, 2015 December 31, 2015 (dollar amounts in thousands) Ending Balance Unpaid Principal Balance (4) Related Allowance Average Balance Interest Income Recognized With no related allowance recorded: Commercial and industrial $ 255,801 $ 279,551 $ — $ 114,389 $ 2,584 Commercial real estate 68,260 125,814 — 88,173 7,199 Automobile — — — — — Home equity — — — — — Residential mortgage — — — — — RV and marine finance — — — — — Other consumer 52 101 — 51 17 With an allowance recorded: Commercial and industrial (2) 246,249 274,203 21,916 267,662 15,110 Commercial real estate (3) 90,475 104,930 8,114 114,019 4,833 Automobile 31,304 31,878 1,779 30,163 2,224 Home equity 248,839 284,957 16,242 292,014 13,092 Residential mortgage (5) 368,449 411,114 16,938 373,573 12,889 RV and marine finance — — — — — Other consumer 4,640 4,649 176 4,675 254 Total Commercial and industrial 502,050 553,754 21,916 382,051 17,694 Commercial real estate 158,735 230,744 8,114 202,192 12,032 Automobile 31,304 31,878 1,779 30,163 2,224 Home equity 248,839 284,957 16,242 292,014 13,092 Residential mortgage 368,449 411,114 16,938 373,573 12,889 RV and marine finance — — — — — Other consumer 4,692 4,750 176 4,726 271 (1) All automobile, home equity, residential mortgage, and other consumer impaired loans included in these tables are considered impaired due to their status as a TDR. (2) At December 31, 2016 , $293 million of the $406 million C&I loans with an allowance recorded were considered impaired due to their status as a TDR. At December 31, 2015 , $91 million of the $246 million C&I loans with an allowance recorded were considered impaired due to their status as a TDR. (3) At December 31, 2016 , $81 million of the $97 million CRE loans with an allowance recorded were considered impaired due to their status as a TDR. At December 31, 2015 , $35 million of the $90 million CRE loans with an allowance recorded were considered impaired due to their status as a TDR. (4) The differences between the ending balance and unpaid principal balance amounts represent partial charge-offs. (5) At December 31, 2016 , $29 million of the $328 million residential mortgage loans with an allowance recorded were guaranteed by the U.S. government. At December 31, 2015 , $29 million of the $368 million residential mortgage loans with an allowance recorded were guaranteed by the U.S. government. |
Detailed troubled debt restructuring information by class | The following table presents by class and by the reason for the modification the number of contracts, post-modification outstanding balance, and the financial effects of the modification for the years ended December 31, 2016 and 2015 : New Troubled Debt Restructurings During The Year Ended (1) December 31, 2016 December 31, 2015 (dollar amounts in thousands) Number of Contracts Post-modification Outstanding Balance (2) Financial effects of modification (3) Number of Contracts Post-modification Outstanding Balance (2) Financial effects of modification (3) Commercial and industrial: Interest rate reduction 4 161 5 13 8,243 (1,042 ) Amortization or maturity date change 872 490,488 (8,751 ) 765 524,356 (5,853 ) Other 20 1,951 (13.996 ) 16 29,842 (449 ) Total Commercial and industrial 896 492,600 (8,760 ) 794 562,441 (7,344 ) Commercial real estate: Interest rate reduction 2 223 — 4 2,249 (4 ) Amortization or maturity date change 111 69,192 (1,868 ) 143 141,238 (1,249 ) Other 4 315 16 11 480 (30 ) Total commercial real estate: 117 69,730 (1,852 ) 158 143,967 (1,283 ) Automobile: Interest rate reduction 17 212 12 41 121 5 Amortization or maturity date change 1,593 14,542 1,065 1,591 12,268 533 Chapter 7 bankruptcy 1,059 8,418 400 926 7,390 423 Other — — — — — — Total Automobile 2,669 23,172 1,477 2,558 19,779 961 Home equity: Interest rate reduction 55 2,928 110 55 4,399 161 Amortization or maturity date change 578 32,006 (3,709 ) 1,591 79,023 (10,639 ) Chapter 7 bankruptcy 282 10,035 2,819 330 9,855 4,271 Other — — — — — — Total Home equity 915 44,969 (780 ) 1,976 93,277 (6,207 ) Residential mortgage: Interest rate reduction 13 1,287 (18 ) 15 1,565 (61 ) Amortization or maturity date change 363 39,170 (1,650 ) 518 57,859 (455 ) Chapter 7 bankruptcy 62 5,715 (86 ) 139 14,183 (164 ) Other 4 424 — 11 1,266 — Total Residential mortgage 442 46,596 (1,754 ) 683 74,873 (680 ) RV and marine finance: Interest rate reduction — — — — — — Amortization or maturity date change — — — — — — Chapter 7 bankruptcy — — — — — — Other — — — — — — Total RV and marine finance — — — — — — Other consumer: Interest rate reduction — — — 1 96 3 Amortization or maturity date change 6 575 24 10 198 8 Chapter 7 bankruptcy 8 72 7 11 69 9 Other — — — — — — Total Other consumer 14 647 31 22 363 20 Total new troubled debt restructurings 5,053 $ 677,714 $ (11,638 ) 6,191 $ 894,700 $ (14,533 ) (1) TDRs may include multiple concessions and the disclosure classifications are based on the primary concession provided to the borrower. (2) Post-modification balances approximate pre-modification balances. The aggregate amount of charge-offs as a result of a restructuring are not significant. (3) Amounts represent the financial impact via provision (recovery) for loan and lease losses as a result of the modification. |
AVAILABLE-FOR-SALE AND OTHER 38
AVAILABLE-FOR-SALE AND OTHER SECURITIES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
Contractual maturities of investment securities | Contractual maturities of available-for-sale and other securities as of December 31, 2016 and 2015 were: 2016 2015 (dollar amounts in thousands) Amortized Cost Fair Value Amortized Cost Fair Value Under 1 year $ 223,789 $ 221,495 $ 333,891 $ 332,980 After 1 year through 5 years 1,147,510 1,149,460 1,184,454 1,189,455 After 5 years through 10 years 1,956,893 1,962,345 1,648,808 1,645,759 After 10 years 11,884,812 11,665,245 5,259,855 5,263,063 Other securities: Nonmarketable equity securities 547,704 547,704 332,786 332,786 Mutual funds 15,286 15,286 10,604 10,604 Marketable equity securities 861 1,302 525 794 Total available-for-sale and other securities $ 15,776,855 $ 15,562,837 $ 8,770,923 $ 8,775,441 |
Amortized cost, fair value, and gross unrealized gain and losses recognized in accumulated other comprehensive income | The following tables provide amortized cost, fair value, and gross unrealized gains and losses recognized in OCI by investment category at December 31, 2016 and 2015 : Unrealized (dollar amounts in thousands) Amortized Cost Gross Gains Gross Losses Fair Value December 31, 2016 U.S. Treasury $ 5,480 $ 17 $ — $ 5,497 Federal agencies: Mortgage-backed securities 10,851,461 12,548 (190,667 ) 10,673,342 Other agencies 73,012 536 (6 ) 73,542 Total U.S. Treasury, Federal agency securities 10,929,953 13,101 (190,673 ) 10,752,381 Municipal securities 3,260,428 28,431 (38,802 ) 3,250,057 Asset-backed securities 824,124 1,492 (32,135 ) 793,481 Corporate debt 194,537 4,161 (15 ) 198,683 Other securities 567,813 441 (19 ) 568,235 Total available-for-sale and other securities $ 15,776,855 $ 47,626 $ (261,644 ) $ 15,562,837 Unrealized (dollar amounts in thousands) Amortized Gross Gross Fair Value December 31, 2015 U.S. Treasury $ 5,457 $ 15 $ — $ 5,472 Federal agencies: Mortgage-backed securities 4,505,318 30,078 (13,708 ) 4,521,688 Other agencies 115,076 888 (51 ) 115,913 Total U.S. Treasury, Federal agency securities 4,625,851 30,981 (13,759 ) 4,643,073 Municipal securities 2,431,943 51,558 (27,105 ) 2,456,396 Asset-backed securities 901,059 535 (40,181 ) 861,413 Corporate debt 464,207 4,824 (2,554 ) 466,477 Other securities 347,863 271 (52 ) 348,082 Total available-for-sale and other securities $ 8,770,923 $ 88,169 $ (83,651 ) $ 8,775,441 |
Available for sale securities in an unrealized loss position | The following tables provide detail on investment securities with unrealized losses aggregated by investment category and the length of time the individual securities have been in a continuous loss position at December 31, 2016 and 2015 : Less than 12 Months Over 12 Months Total (dollar amounts in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses December 31, 2016 Federal agencies: Mortgage-backed securities $ 8,908,470 $ (189,318 ) $ 41,706 $ (1,349 ) $ 8,950,176 $ (190,667 ) Other agencies 924 (6 ) — — 924 (6 ) Total Federal agency securities 8,909,394 (189,324 ) 41,706 (1,349 ) 8,951,100 (190,673 ) Municipal securities 1,412,152 (29,175 ) 272,292 (9,627 ) 1,684,444 (38,802 ) Asset-backed securities 361,185 (3,043 ) 178,924 (29,092 ) 540,109 (32,135 ) Corporate debt 3,567 (15 ) 200 — 3,767 (15 ) Other securities 790 (11 ) 1,492 (8 ) 2,282 (19 ) Total temporarily impaired securities $ 10,687,088 $ (221,568 ) $ 494,614 $ (40,076 ) $ 11,181,702 $ (261,644 ) |
Realized securities gains and losses | The following table is a summary of realized securities gains and losses for the years ended December 31, 2016 , 2015 , and 2014 : Year ended December 31, (dollar amounts in thousands) 2016 2015 2014 Gross gains on sales of securities $ 23,095 $ 6,730 $ 17,729 Gross (losses) on sales of securities (21,060 ) (3,546 ) (175 ) Net gain (loss) on sales of securities $ 2,035 $ 3,184 $ 17,554 |
Credit ratings on selected investment securities | The following table summarizes the relevant characteristics of the Company's CDO securities portfolio, which are included in asset-backed securities, at December 31, 2016 and 2015 . Each security is part of a pool of issuers and supports a more senior tranche of securities except for the MM Comm III securities which are the most senior class. Collateralized Debt Obligation Securities (dollar amounts in thousands) Deal Name Par Value Amortized Cost Fair Value Unrealized Loss (2) Lowest Credit Rating (3) # of Issuers Currently Performing/ Remaining (4) Actual Deferrals and Defaults as a % of Original Collateral Expected Defaults as a % of Remaining Performing Collateral Excess Subordination (5) ICONS 18,594 18,594 15,307 (3,287 ) BB 19/21 7 13 54 MM Comm III 4,573 4,369 3,618 (751 ) BB 5/8 5 6 38 Pre TSL IX (1) 5,000 3,955 3,253 (702 ) C 27/37 16 9 8 Pre TSL XI (1) 25,000 19,576 15,767 (3,809 ) C 43/53 14 8 14 Pre TSL XIII (1) 27,530 19,106 17,146 (1,960 ) C 45/54 9 11 29 Reg Diversified (1) 25,500 4,610 1,752 (2,858 ) D 20/37 35 8 — Tropic III 31,000 31,000 19,160 (11,840 ) BB 28/37 16 7 42 Total at December 31, 2016 $ 137,197 $ 101,210 $ 76,003 $ (25,207 ) Total at December 31, 2015 $ 179,574 $ 131,991 $ 100,338 $ (31,654 ) (1) Security was determined to have OTTI. As such, the amortized cost is net of recorded credit impairment. (2) The majority of securities have been in a continuous loss position for 12 months or longer. (3) For purposes of comparability, the lowest credit rating expressed is equivalent to Fitch ratings even where the lowest rating is based on another nationally recognized credit rating agency. (4) Includes both banks and/or insurance companies. (5) Excess subordination percentage represents the additional defaults in excess of both current and projected defaults that the CDO can absorb before the bond experiences credit impairment. Excess subordinated percentage is calculated by (a) determining what percentage of defaults a deal can experience before the bond has credit impairment, and (b) subtracting from this default breakage percentage both total current and expected future default percentages. |
OTTI recognized in earnings | For the periods ended December 31, 2016 , 2015 , and 2014 , the following table summarizes by security type, the total OTTI losses recognized in the Consolidated Statements of Income for securities evaluated for impairment as described above: Year ended December 31, (dollar amounts in thousands) 2016 2015 2014 Available-for-sale and other securities: Collateralized Debt Obligations $ — $ (2,440 ) $ — Municipal Securities (2,119 ) — — Total available-for-sale and other securities $ (2,119 ) $ (2,440 ) $ — The following table rolls forward the OTTI recognized in earnings on debt securities held by Huntington for the years ended December 31, 2016 , and 2015 as follows: Year Ended December 31, (dollar amounts in thousands) 2016 2015 Balance, beginning of year $ 18,368 $ 30,869 Reductions from sales (8,690 ) (14,941 ) Credit losses not previously recognized 2,119 — Additional credit losses — 2,440 Balance, end of year $ 11,797 $ 18,368 |
HELD-TO-MATURITY SECURITIES (Ta
HELD-TO-MATURITY SECURITIES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Held-to-maturity Securities [Abstract] | |
Contractual maturities of held-to-maturity securities | Listed below are the contractual maturities of held-to-maturity securities at December 31, 2016 and December 31, 2015 : December 31, 2016 December 31, 2015 (dollar amounts in thousands) Amortized Cost Fair Value Amortized Cost Fair Value Federal agencies: Mortgage-backed securities: 1 year or less $ — $ — $ — $ — After 1 year through 5 years — — — — After 5 years through 10 years 41,261 40,791 25,909 25,227 After 10 years 7,157,083 7,139,943 5,506,592 5,484,407 Total mortgage-backed securities 7,198,344 7,180,734 5,532,501 5,509,634 Other agencies: 1 year or less — — — — After 1 year through 5 years — — — — After 5 years through 10 years 398,341 399,452 283,960 284,907 After 10 years 204,083 201,180 336,092 334,004 Total other agencies 602,424 600,632 620,052 618,911 Total U.S. Government backed agencies 7,800,768 7,781,366 6,152,553 6,128,545 Municipal securities: 1 year or less — — — — After 1 year through 5 years — — — — After 5 years through 10 years — — — — After 10 years 6,171 5,902 7,037 6,913 Total municipal securities 6,171 5,902 7,037 6,913 Total held-to-maturity securities $ 7,806,939 $ 7,787,268 $ 6,159,590 $ 6,135,458 |
Amortized cost, gross unrealized gains and losses, and fair value by investment category | The following table provides amortized cost, gross unrealized gains and losses, and fair value by investment category at December 31, 2016 and 2015 : Unrealized (dollar amounts in thousands) Amortized Cost Gross Gains Gross Losses Fair Value December 31, 2016 Federal agencies: Mortgage-backed securities $ 7,198,344 $ 20,883 $ (38,493 ) $ 7,180,734 Other agencies 602,424 1,690 (3,482 ) 600,632 Total U.S. Government backed agencies 7,800,768 22,573 (41,975 ) 7,781,366 Municipal securities 6,171 — (269 ) 5,902 Total held-to-maturity securities $ 7,806,939 $ 22,573 $ (42,244 ) $ 7,787,268 Unrealized (dollar amounts in thousands) Amortized Gross Gross Fair Value December 31, 2015 Federal agencies: Mortgage-backed securities $ 5,532,501 $ 14,637 $ (37,504 ) $ 5,509,634 Other agencies 620,052 1,645 (2,786 ) 618,911 Total U.S. Government backed agencies 6,152,553 16,282 (40,290 ) 6,128,545 Municipal securities 7,037 — (124 ) 6,913 Total held-to-maturity securities $ 6,159,590 $ 16,282 $ (40,414 ) $ 6,135,458 |
Investment securities in an unrealized loss position | The following tables provide detail on HTM securities with unrealized losses aggregated by investment category and the length of time the individual securities have been in a continuous loss position at December 31, 2016 and 2015 : Less than 12 Months Over 12 Months Total (dollar amounts in thousands) Fair Unrealized Fair Unrealized Fair Unrealized December 31, 2016 Federal agencies: Mortgage-backed securities $ 2,855,360 $ (31,470 ) $ 186,226 $ (7,023 ) $ 3,041,586 $ (38,493 ) Other agencies 413,207 (3,482 ) — — 413,207 (3,482 ) Total U.S. Government backed securities 3,268,567 (34,952 ) 186,226 (7,023 ) 3,454,793 (41,975 ) Municipal securities 5,902 (269 ) — — 5,902 (269 ) Total temporarily impaired securities $ 3,274,469 $ (35,221 ) $ 186,226 $ (7,023 ) $ 3,460,695 $ (42,244 ) Less than 12 Months Over 12 Months Total (dollar amounts in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses December 31, 2015 Federal agencies: Mortgage-backed securities $ 3,692,890 $ (25,418 ) $ 519,872 $ (12,086 ) $ 4,212,762 $ (37,504 ) Other agencies 425,410 (2,689 ) 6,647 (97 ) 432,057 (2,786 ) Total U.S. Government backed securities 4,118,300 (28,107 ) 526,519 (12,183 ) 4,644,819 (40,290 ) Municipal securities — — 6,913 (124 ) 6,913 (124 ) Total temporarily impaired securities $ 4,118,300 $ (28,107 ) $ 533,432 $ (12,307 ) $ 4,651,732 $ (40,414 ) |
LOAN SALES AND SECURITIZATIONS
LOAN SALES AND SECURITIZATIONS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Transfers and Servicing [Abstract] | |
Schedule of activity relating to loans securitized sold with servicing rights | The following table summarizes activity relating to SBA loans sold with servicing retained for the years ended December 31, 2016 , 2015 , and 2014 : Year Ended December 31, (dollar amounts in thousands) 2016 2015 2014 SBA loans sold with servicing retained $ 269,923 $ 232,848 $ 214,760 Pretax gains resulting from above loan sales (1) 20,516 18,626 24,579 (1) Recorded in gain on sale of loans. The following table summarizes activity relating to residential mortgage loans sold with servicing retained for the years ended December 31, 2016 , 2015 , and 2014 : Year Ended December 31, (dollar amounts in thousands) 2016 2015 2014 Residential mortgage loans sold with servicing retained $ 3,632,024 $ 3,322,723 $ 2,330,060 Pretax gains resulting from above loan sales (1) 96,585 83,148 57,590 (1) Recorded in mortgage banking income. The following table summarizes activity relating to automobile loans securitized with servicing retained for the years ended December 31, 2016 , 2015 , and 2014 : Year Ended December 31, (dollar amounts in thousands) 2016 2015 2014 (1) UPB of automobile loans securitized with servicing retained $ 1,500,000 750,000 — Net proceeds received in loan securitizations 1,551,679 780,117 — Servicing asset recognized in loan securitizations (2) 15,670 11,180 — Pretax gains resulting from above loan securitizations (3) 5,632 5,333 — (1) Huntington did not sell or securitize any automobile loans in 2014. (2) Recorded in servicing rights. (3) Recorded in gain on sale of loans |
Servicing asset at fair value | The following tables summarize the changes in MSRs recorded using either the fair value method or the amortization method for the years ended December 31, 2016 and 2015 : Fair Value Method (dollar amounts in thousands) 2016 2015 Fair value, beginning of year $ 17,585 $ 22,786 Change in fair value during the period due to: Time decay (1) (950 ) (1,295 ) Payoffs (2) (1,827 ) (3,031 ) Changes in valuation inputs or assumptions (3) (1,061 ) (875 ) Fair value, end of year $ 13,747 $ 17,585 Weighted-average life (years) 5.7 4.6 (1) Represents decrease in value due to passage of time, including the impact from both regularly scheduled loan principal payments and partial loan paydowns. (2) Represents decrease in value associated with loans that paid off during the period. (3) Represents change in value resulting primarily from market-driven changes in interest rates and prepayment speeds. |
Servicing asset at amortized cost | The following tables summarize the changes in the carrying value of the servicing asset for the years ended December 31, 2016 , and 2015 : (dollar amounts in thousands) 2016 2015 Carrying value, beginning of year $ 19,747 $ 18,536 New servicing assets created 8,705 8,012 Amortization and other (7,372 ) (6,801 ) Carrying value, end of year $ 21,080 $ 19,747 Fair value, end of year $ 24,270 $ 22,649 Weighted-average life (years) 3.3 3.3 Changes in the carrying value of automobile loan servicing rights for the years ended December 31, 2016 , and 2015 , and the fair value at the end of each period were as follows: (dollar amounts in thousands) 2016 2015 Carrying value, beginning of year $ 8,771 $ 6,898 New servicing assets created 15,670 11,180 Amortization and other (6,156 ) (9,307 ) Carrying value, end of year $ 18,285 $ 8,771 Fair value, end of year $ 18,388 $ 9,127 Weighted-average life (years) 4.2 3.2 Amortization Method (dollar amounts in thousands) 2016 2015 Carrying value, beginning of year $ 143,133 $ 132,812 New servicing assets created 37,813 35,407 Servicing assets acquired 15,317 — Impairment recovery (charge) 1,918 (2,732 ) Amortization and other (25,715 ) (22,354 ) Carrying value, end of year $ 172,466 $ 143,133 Fair value, end of year $ 172,779 $ 143,435 Weighted-average life (years) 7.2 5.9 |
Summary of key assumptions and the sensitivity analysis of servicing rights | A summary of key assumptions and the sensitivity of the automobile loan servicing rights value to changes in these assumptions at December 31, 2016 , and 2015 follows: December 31, 2016 December 31, 2015 Decline in fair value due to Decline in fair value due to (dollar amounts in thousands) Actual 10% adverse change 20% adverse change Actual 10% adverse change 20% adverse change Constant prepayment rate (annualized) 19.98 % $ (1,047 ) $ (2,026 ) 18.36 % $ (500 ) $ (895 ) Spread over forward interest rate swap rates 500 bps (26 ) (53 ) 500 bps (10 ) (19 ) For MSRs under the fair value method, a summary of key assumptions and the sensitivity of the MSR value to changes in these assumptions at December 31, 2016 , and 2015 follows: December 31, 2016 December 31, 2015 Decline in fair value due to Decline in fair value due to (dollar amounts in thousands) Actual 10% adverse change 20% adverse change Actual 10% adverse change 20% adverse change Constant prepayment rate (annualized) 10.90 % $ (501 ) $ (970 ) 14.70 % $ (864 ) $ (1,653 ) Spread over forward interest rate swap rates 536 bps (454 ) (879 ) 539 bps (559 ) (1,083 ) For MSRs under the amortization method, a summary of key assumptions and the sensitivity of the MSR value to changes in these assumptions at December 31, 2016 , and 2015 follows: December 31, 2016 December 31, 2015 Decline in fair value due to Decline in fair value due to (dollar amounts in thousands) Actual 10% adverse change 20% adverse change Actual 10% adverse change 20% adverse change Constant prepayment rate (annualized) 7.80 % $ (4,510 ) $ (8,763 ) 11.10 % $ (5,543 ) $ (10,648 ) Spread over forward interest rate swap rates 1,173 bps (5,259 ) (10,195 ) 875 bps (4,662 ) (9,017 ) A summary of key assumptions and the sensitivity of the SBA loan servicing rights value to changes in these assumptions at December 31, 2016 , and 2015 follows: December 31, 2016 December 31, 2015 Decline in fair value due to Decline in fair value due to (dollar amounts in thousands) Actual 10% adverse change 20% adverse change Actual 10% adverse change 20% adverse change Constant prepayment rate (annualized) 7.40 % $ (324 ) $ (644 ) 7.60 % $ (313 ) $ (622 ) Discount rate 15.00 (1,270 ) (1,870 ) 15.00 (610 ) (1,194 ) |
GOODWILL AND OTHER INTANGIBLE41
GOODWILL AND OTHER INTANGIBLE ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill by business segment | A rollforward of goodwill by business segment for the years ended December 31, 2016 and 2015 , is presented in the table below: Consumer & Business Commercial Home Treasury/ Huntington (dollar amounts in thousands) Banking Banking CREVF RBHPCG Lending Other Consolidated Balance, January 1, 2015 $ 368,097 $ 59,594 $ — $ 90,012 $ — $ 4,838 $ 522,541 Goodwill acquired during the period — 155,828 — — — — 155,828 Adjustments — — — (1,500 ) — — (1,500 ) Balance, December 31, 2015 368,097 215,422 — 88,512 — 4,838 676,869 Goodwill acquired during the period 1,030,046 237,542 — 53,230 — — 1,320,818 Adjustments — — — — — (4,838 ) (4,838 ) Balance, December 31, 2016 $ 1,398,143 $ 452,964 $ — $ 141,742 $ — $ — $ 1,992,849 |
Summary of other intangible assets | At December 31, 2016 and 2015 , Huntington’s other intangible assets consisted of the following: (dollar amounts in thousands) Gross Accumulated Net December 31, 2016 Core deposit intangible $ 324,619 $ (26,778 ) $ 297,841 Customer relationship 194,956 (1) (90,383 ) 104,573 Other 150 (106 ) 44 Total other intangible assets $ 519,725 $ (117,267 ) $ 402,458 December 31, 2015 Core deposit intangible $ 400,058 $ (384,606 ) $ 15,452 Customer relationship 116,094 (76,656 ) 39,438 Other 25,164 (25,076 ) 88 Total other intangible assets $ 541,316 $ (486,338 ) $ 54,978 |
Estimated amortization expense of other intangible assets | The estimated amortization expense of other intangible assets for the next five years is as follows: (dollar amounts in thousands) Amortization Expense 2017 $ 56,333 2018 53,161 2019 50,446 2020 42,291 2021 39,783 |
PREMISES AND EQUIPMENT (Tables)
PREMISES AND EQUIPMENT (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
Schedule of property, plant and equipment | Premises and equipment were comprised of the following at December 31, 2016 and 2015 : At December 31, (dollar amounts in thousands) 2016 2015 Land and land improvements $ 199,193 $ 140,414 Buildings 523,181 366,963 Leasehold improvements 265,384 246,222 Equipment 721,014 647,769 Total premises and equipment 1,708,772 1,401,368 Less accumulated depreciation and amortization (893,264 ) (780,828 ) Net premises and equipment $ 815,508 $ 620,540 |
Depreciation and amortization charged to expense and rental income credited to net occupancy expense | Depreciation and amortization charged to expense and rental income credited to net occupancy expense for the three years ended December 31, 2016 , 2015 , and 2014 were: (dollar amounts in thousands) 2016 2015 2014 Total depreciation and amortization of premises and equipment $ 125,856 $ 85,805 $ 82,296 Rental income credited to occupancy expense 12,512 12,563 11,556 |
SHORT-TERM BORROWINGS (Tables)
SHORT-TERM BORROWINGS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Schedule of Short-term Debt | Borrowings with original maturities of one year or less are classified as short-term and were comprised of the following at December 31, 2016 and 2015 : At December 31, (dollar amounts in thousands) 2016 2015 Federal funds purchased and securities sold under agreements to repurchase $ 1,248,089 $ 601,272 Federal Home Loan Bank advances 2,425,000 — Other borrowings 19,565 14,007 Total short-term borrowings $ 3,692,654 $ 615,279 |
LONG-TERM DEBT (Tables)
LONG-TERM DEBT (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Debt Instruments [Abstract] | |
Schedule of Long-Term Debt | Huntington’s long-term debt consisted of the following: At December 31, (dollar amounts in thousands) 2016 2015 The Parent Company: Senior Notes: 3.19% Huntington Bancshares Incorporated medium-term notes due 2021 $ 972,625 $ — 2.33% Huntington Bancshares Incorporated senior note due 2022 953,674 — 2.64% Huntington Bancshares Incorporated senior note due 2018 399,278 399,169 Subordinated Notes: 7.00% Huntington Bancshares Incorporated subordinated notes due 2020 319,857 326,379 3.55% Huntington Bancshares Incorporated subordinated notes due 2023 248,156 — Sky Financial Capital Trust IV 2.40% junior subordinated debentures due 2036 (1) 74,320 74,320 Sky Financial Capital Trust III 2.40% junior subordinated debentures due 2036 (1) 72,165 72,165 Huntington Capital I Trust Preferred 1.70% junior subordinated debentures due 2027 (2) 68,720 110,706 Huntington Capital II Trust Preferred 1.06% junior subordinated debentures due 2028 (3) 31,576 54,030 Camco Statutory Trust I 2.30% due 2037 (4) 4,244 4,212 Total notes issued by the parent 3,144,615 1,040,981 The Bank: Senior Notes: 2.24% Huntington National Bank senior notes due 2018 843,568 841,313 2.10% Huntington National Bank senior notes due 2018 747,170 745,894 1.75% Huntington National Bank senior notes due 2018 499,732 501,006 1.43% Huntington National Bank senior note due 2019 499,686 498,678 2.23% Huntington National Bank senior note due 2017 499,445 500,416 2.43% Huntington National Bank senior notes due 2020 498,448 498,185 2.97% Huntington National Bank senior notes due 2020 495,088 495,998 1.42% Huntington National Bank senior notes due 2017 (5) 250,000 250,000 5.04% Huntington National Bank medium-term notes due 2018 36,351 37,469 1.31% Huntington National Bank senior note due 2016 — 498,360 1.40% Huntington National Bank senior note due 2016 — 349,399 Subordinated Notes: 3.86% Huntington National Bank subordinated notes due 2026 239,293 — 6.67% Huntington National Bank subordinated notes due 2018 131,910 136,227 5.45% Huntington National Bank subordinated notes due 2019 81,155 83,833 5.59% Huntington National Bank subordinated notes due 2016 — 103,357 Total notes issued by the bank 4,821,846 5,540,135 FHLB Advances: 3.47% weighted average rate, varying maturities greater than one year 7,540 7,800 Other: Huntington Technology Finance nonrecourse debt, 3.43% effective interest rate, varying maturities 277,523 301,577 Huntington Technology Finance ABS Trust 2014 1.70% due 2020 57,494 123,577 Huntington Technology Finance ABS Trust 2012 1.79% due 2017 — 27,153 Other 141 141 Total other 335,158 452,448 Total long-term debt $ 8,309,159 $ 7,041,364 (1) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 1.400% (2) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 0.70% (3) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 0.625% (4) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 1.33% . (5) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 0.425% . The trust securities are the obligations of the trusts, and as such, are not consolidated within Huntington’s Consolidated Financial Statements. A list of trust-preferred securities outstanding at December 31, 2016 follows: (dollar amounts in thousands) Rate Principal amount of subordinated note/ debenture issued to trust (1) Investment in unconsolidated subsidiary Huntington Capital I 1.59 % (2) $ 69,730 $ 6,186 Huntington Capital II 1.59 (3) 32,093 3,093 Sky Financial Capital Trust III 2.40 (4) 72,165 2,165 Sky Financial Capital Trust IV 2.25 (4) 74,320 2,320 Camco Financial Trust 3.43 (5) 4,244 155 Total $ 252,552 $ 13,919 (1) Represents the principal amount of debentures issued to each trust, including unamortized original issue discount. (2) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 0.70 . (3) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 62.5 . (4) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 1.40 . (5) Variable effective rate (including impact of purchase accounting accretion) at December 31, 2016 , based on three month LIBOR + 1.33 . |
Schedule of Maturities of Long-term Debt | Long-term debt maturities for the next five years and thereafter are as follows: (dollar amounts in thousands) 2017 2018 2019 2020 2021 Thereafter Total The Parent Company: Senior notes $ — $ 400,000 $ — $ — $ 1,000,000 $ 1,000,000 $ 2,400,000 Subordinated notes — — — 300,000 — 503,463 803,463 The Bank: Senior notes 750,000 2,135,000 500,000 1,000,000 — — 4,385,000 Subordinated notes — 125,539 75,716 — — 250,000 451,255 FHLB Advances 100 1,115 325 2,368 — 3,769 7,677 Other 64,288 84,357 62,048 81,551 42,187 726 335,157 Total $ 814,388 $ 2,746,011 $ 638,089 $ 1,383,919 $ 1,042,187 $ 1,757,958 $ 8,382,552 |
OTHER COMPREHENSIVE INCOME (Tab
OTHER COMPREHENSIVE INCOME (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
Components of other comprehensive income | The components of Huntington’s OCI in the three years ended December 31, 2016 , 2015 , and 2014 , were as follows: 2016 Tax (expense) (dollar amounts in thousands) Pretax Benefit After-tax Noncredit-related impairment recoveries (losses) on debt securities not expected to be sold $ 905 $ (320 ) $ 585 Unrealized holding gains (losses) on available-for-sale debt securities arising during the period (203,048 ) 70,599 (132,449 ) Less: Reclassification adjustment for net losses (gains) included in net income (107,145 ) 37,884 (69,261 ) Net change in unrealized holding gains (losses) on available-for-sale debt securities (309,288 ) 108,163 (201,125 ) Net change in unrealized holding gains (losses) on available-for-sale equity securities 171 (60 ) 111 Unrealized gains (losses) on derivatives used in cash flow hedging relationships arising during the period 2,381 (833 ) 1,548 Less: Reclassification adjustment for net (gains) losses included in net income (360 ) 126 (234 ) Net change in unrealized gains (losses) on derivatives used in cash flow hedging relationships 2,021 (707 ) 1,314 Net change in pension and other post-retirement obligations 38,218 (13,376 ) 24,842 Total other comprehensive income (loss) $ (268,878 ) $ 94,020 $ (174,858 ) 2015 Tax (expense) (dollar amounts in thousands) Pretax Benefit After-tax Noncredit-related impairment recoveries (losses) on debt securities not expected to be sold $ 19,606 $ (6,933 ) $ 12,673 Unrealized holding gains (losses) on available-for-sale debt securities arising during the period (26,021 ) 9,108 (16,913 ) Less: Reclassification adjustment for net losses (gains) included in net income (3,901 ) 1,365 (2,536 ) Net change in unrealized holding gains (losses) on available-for-sale debt securities (10,316 ) 3,540 (6,776 ) Net change in unrealized holding gains (losses) on available-for-sale equity securities (474 ) 166 (308 ) Unrealized gains (losses) on derivatives used in cash flow hedging relationships arising during the period 12,966 (4,538 ) 8,428 Less: Reclassification adjustment for net (gains) losses included in net income (220 ) 77 (143 ) Net change in unrealized gains (losses) on derivatives used in cash flow hedging relationships 12,746 (4,461 ) 8,285 Net change in pension and other post-retirement obligations (7,795 ) 2,728 (5,067 ) Total other comprehensive income (loss) $ (5,839 ) $ 1,973 $ (3,866 ) 2014 Tax (expense) (dollar amounts in thousands) Pretax Benefit After-tax Noncredit-related impairment recoveries (losses) on debt securities not expected to be sold $ 13,583 $ (4,803 ) $ 8,780 Unrealized holding gains (losses) on available-for-sale debt securities arising during the period 86,618 (30,914 ) 55,704 Less: Reclassification adjustment for net gains (losses) included in net income (15,559 ) 5,446 (10,113 ) Net change in unrealized holding gains (losses) on available-for-sale debt securities 84,642 (30,271 ) 54,371 Net change in unrealized holding gains (losses) on available-for-sale equity securities 295 (103 ) 192 Unrealized gains and losses on derivatives used in cash flow hedging relationships arising during the period 14,141 (4,949 ) 9,192 Less: Reclassification adjustment for net losses (gains) losses included in net income (3,971 ) 1,390 (2,581 ) Net change in unrealized gains (losses) on derivatives used in cash flow hedging relationships 10,170 (3,559 ) 6,611 Net change in pension and post-retirement obligations (106,857 ) 37,400 (69,457 ) Total other comprehensive income (loss) $ (11,750 ) $ 3,467 $ (8,283 ) |
Activity in accumulated other comprehensive income, net of tax | Activity in accumulated OCI for the two years ended December 31, were as follows: (dollar amounts in thousands) Unrealized gains and (losses) on debt securities (1) Unrealized gains and (losses) on equity securities Unrealized gains and (losses) on cash flow hedging derivatives Unrealized gains (losses) for pension and other post- retirement obligations Total December 31, 2014 $ 15,137 $ 484 $ (12,233 ) $ (225,680 ) $ (222,292 ) Other comprehensive income before reclassifications (4,240 ) (308 ) 8,428 — 3,880 Amounts reclassified from accumulated OCI to earnings (2,536 ) — (143 ) (5,067 ) (7,746 ) Period change (6,776 ) (308 ) 8,285 (5,067 ) (3,866 ) December 31, 2015 8,361 176 (3,948 ) (230,747 ) (226,158 ) Other comprehensive income before reclassifications (131,864 ) 111 1,548 — (130,205 ) Amounts reclassified from accumulated OCI to earnings (69,261 ) — (234 ) 24,842 (44,653 ) Period change (201,125 ) 111 1,314 24,842 (174,858 ) December 31, 2016 $ (192,764 ) $ 287 $ (2,634 ) $ (205,905 ) $ (401,016 ) (1) Amount at December 31, 2016 includes $(82) million of net unrealized losses on securities transferred from the available-for-sale securities portfolio to the held-to-maturity securities portfolio. The net unrealized losses will be recognized in earnings over the remaining life of the security using the effective interest method. |
Reclassification Out Of Accumulated OCI | The following table presents the reclassification adjustments out of accumulated OCI included in net income and the impacted line items as listed on the Consolidated Statements of Income for the years ended December 31, 2016 and 2015 : Reclassifications out of accumulated OCI Accumulated OCI components Amounts reclassified from accumulated OCI Location of net gain (loss) reclassified from accumulated OCI into earnings (dollar amounts in thousands) 2016 2015 Gains (losses) on debt securities: Amortization of unrealized gains (losses) $ 91,058 $ (144 ) Interest income—held-to-maturity securities—taxable Realized gain (loss) on sale of securities 18,206 6,485 Noninterest income—net gains (losses) on sale of securities OTTI recorded (2,119 ) (2,440 ) Noninterest income—net gains (losses) on sale of securities Total before tax 107,145 3,901 Tax (expense) benefit (37,884 ) (1,365 ) Net of tax $ 69,261 $ 2,536 Gains (losses) on cash flow hedging relationships: Interest rate contracts $ 361 $ 210 Interest and fee income—loans and leases Interest rate contracts (1 ) 10 Noninterest expense—other income Total before tax 360 220 Tax (expense) benefit (126 ) (77 ) Net of tax $ 234 $ 143 Amortization of defined benefit pension and post-retirement items: Actuarial gains (losses) $ (40,186 ) $ 5,827 Noninterest expense—personnel costs Net periodic benefit costs 1,968 1,968 Noninterest expense—personnel costs Total before tax (38,218 ) 7,795 Tax (expense) benefit 13,376 (2,728 ) Net of tax $ (24,842 ) $ 5,067 |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
Basic and diluted earnings loss per share | The calculation of basic and diluted earnings per share for each of the three years ended December 31 was as follows: Year ended December 31, (dollar amounts in thousands, except per share amounts) 2016 2015 2014 Basic earnings per common share: Net income $ 711,821 $ 692,957 $ 632,392 Preferred stock dividends (65,274 ) (31,873 ) (31,854 ) Net income available to common shareholders $ 646,547 $ 661,084 $ 600,538 Average common shares issued and outstanding 904,438 803,412 819,917 Basic earnings per common share: $ 0.72 $ 0.82 $ 0.73 Diluted earnings per common share Net income available to common shareholders $ 646,547 $ 661,084 $ 600,538 Effect of assumed preferred stock conversion — — — Net income applicable to diluted earnings per share $ 646,547 $ 661,084 $ 600,538 Average common shares issued and outstanding 904,438 803,412 819,917 Dilutive potential common shares: Stock options and restricted stock units and awards 11,728 11,633 11,421 Shares held in deferred compensation plans 2,486 1,912 1,420 Other 138 172 323 Dilutive potential common shares: 14,352 13,717 13,164 Total diluted average common shares issued and outstanding 918,790 817,129 833,081 Diluted earnings per common share $ 0.70 $ 0.81 $ 0.72 |
SHARE-BASED COMPENSATION (Table
SHARE-BASED COMPENSATION (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Weighted average assumptions used in the option pricing model | The following table presents the weighted average assumptions used in the option-pricing model at the grant date for options granted in the three years ended December 31, 2016 , 2015 , and 2014 : 2016 2015 2014 Assumptions Risk-free interest rate 1.63 % 2.13 % 1.69 % Expected dividend yield 3.18 2.57 2.61 Expected volatility of Huntington’s common stock 30.0 29.0 32.3 Expected option term (years) 6.5 6.5 5 Weighted-average grant date fair value per share $ 2.17 $ 2.57 $ 2.13 |
Share based compensation expense and related tax benefit | The following table presents total share-based compensation expense and related tax benefit for the three years ended December 31, 2016 , 2015 , and 2014 : (dollar amounts in thousands) 2016 2015 2014 Share-based compensation expense $ 65,608 $ 51,415 $ 43,666 Tax benefit 22,496 17,618 14,779 |
Stock option activity and related information | Huntington’s stock option activity and related information for the year ended December 31, 2016 , was as follows: (amounts in thousands, except years and per share amounts) Options Weighted- Weighted- Aggregate Outstanding at January 1, 2016 16,121 $ 7.25 Granted 1,596 10.06 Exercised (2,372 ) 5.90 Forfeited/expired (471 ) 15.73 Outstanding at December 31, 2016 14,874 $ 7.50 3.6 $ 85,159 Expected to vest (1) 3,656 $ 9.59 7.1 $ 13,267 Exercisable at December 31, 2016 10,985 $ 6.75 2.4 $ 71,114 (1) The number of options expected to vest includes an estimate of 233 thousand shares expected to be forfeited. |
Schedule of restricted stock, restricted stock units, and performance shares | The following table summarizes the status of Huntington’s restricted stock units and performance share awards as of December 31, 2016 , and activity for the year ended December 31, 2016 : Restricted Stock Awards Restricted Stock Units Performance Share Awards (amounts in thousands, except per share amounts) Quantity Weighted- Average Grant Date Fair Value Per Share Quantity Weighted- Average Grant Date Fair Value Per Share Quantity Weighted- Average Grant Date Fair Value Per Share Nonvested at January 1, 2016 7 $ 9.53 12,170 $ 9.11 2,893 $ 8.99 Granted — — 6,526 9.69 981 9.04 Assumed 916 9.68 — — 807 9.68 Vested (241 ) 9.68 (3,142 ) 7.91 (1,307 ) 8.05 Forfeited (26 ) 9.68 (821 ) 9.52 (67 ) 9.78 Nonvested at December 31, 2016 656 $ 9.68 14,733 $ 9.61 3,307 $ 9.63 |
BENEFIT PLANS (Tables)
BENEFIT PLANS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
Schedule of weighted-average assumptions used | The following table shows the weighted-average assumptions used to determine the benefit obligation at December 31, 2016 and 2015 , and the net periodic benefit cost for the years then ended: Pension Post-Retirement 2016 2015 2016 2015 Weighted-average assumptions used to determine benefit obligations Discount rate 4.38 % 4.54 % 3.64 % 3.81 % Rate of compensation increase N/A N/A N/A N/A Weighted-average assumptions used to determine net periodic benefit cost Discount rate (1) 4.54 4.12 3.81 3.73 Expected return on plan assets 6.75 7.00 N/A N/A Rate of compensation increase N/A N/A N/A N/A N/A—Not Applicable (1) The 2015 post-retirement benefit expense was remeasured as of September 30, 2015, for the purchase of life insurance contracts for participants due a death benefit. The discount rate was 3.72% from January 1, 2015 to September 30, 2015, and was changed to 3.77% for the period from September 30, 2015 to December 31, 2015. The following table shows the weighted-average assumptions used to determine the benefit obligation at December 31, 2016 , and the net periodic benefit cost for the year then ended: Pension Benefits Post-Retirement Benefits 2016 2016 Weighted-average assumptions used to determine benefit obligations Discount rate 4.49 % 4.16 % Rate of compensation increase N/A N/A Weighted-average assumptions used to determine net periodic benefit cost Discount rate 4.12 % 3.57 % Expected return on plan assets 6.00 N/A Rate of compensation increase N/A N/A N/A—Not Applicable |
Schedule of changes in projected benefit obligation | The following table reconciles the beginning and ending balances of the benefit obligation of the Plan and the post-retirement benefit plan with the amounts recognized in the consolidated balance sheets at December 31: Pension Benefits Post-Retirement Benefits (dollar amounts in thousands) 2016 2015 2016 2015 Projected benefit obligation at beginning of measurement year $ 754,714 $ 799,594 $ 8,025 $ 15,963 Changes due to: Service cost 4,100 1,830 — — Interest cost 26,992 31,937 219 506 Benefits paid (18,306 ) (17,246 ) (1,915 ) (2,211 ) Settlements (21,684 ) (27,976 ) — (6,993 ) Medicare subsidies — — — 117 Actuarial assumptions and gains and losses (9,470 ) (33,425 ) 963 643 Total changes (18,368 ) (44,880 ) (733 ) (7,938 ) Projected benefit obligation at end of measurement year $ 736,346 $ 754,714 $ 7,292 $ 8,025 |
Schedule of changes in fair value of plan assets | The following table reconciles the beginning and ending balances of the fair value of Plan assets at the December 31, 2016 and 2015 measurement dates: Pension Benefits (dollar amounts in thousands) 2016 2015 Fair value of plan assets at beginning of measurement year $ 594,217 $ 653,013 Changes due to: Actual return on plan assets 39,895 (16,122 ) Employer Contributions 150,000 — Settlements (20,081 ) (25,428 ) Benefits paid (18,306 ) (17,246 ) Total changes 151,508 (58,796 ) Fair value of plan assets at end of measurement year $ 745,725 $ 594,217 |
Schedule of net periodic benefit costs | The following table shows the components of net periodic benefit costs recognized in the three years ended December 31, 2016 : Pension Benefits Post-Retirement Benefits (dollar amounts in thousands) 2016 2015 2014 2016 2015 2014 Service cost $ 4,100 $ 1,830 $ 1,740 $ — $ — $ — Interest cost 26,992 31,937 32,398 219 506 856 Expected return on plan assets (40,895 ) (44,175 ) (45,783 ) — — — Amortization of prior service credit — — — (1,968 ) (1,968 ) (1,609 ) Amortization of (gain) / loss 7,459 7,934 5,767 (288 ) (401 ) (571 ) Settlements 9,495 12,645 11,200 — (3,090 ) — Benefit costs $ 7,151 $ 10,171 $ 5,322 $ (2,037 ) $ (4,953 ) $ (1,324 ) |
Schedule of allocation of plan assets | At December 31, 2016 and 2015 , The Huntington National Bank, as trustee, held all Plan assets. The Plan assets consisted of investments in a variety of corporate and government fixed income investments, money market funds, and mutual funds as follows: Fair Value (dollar amounts in thousands) 2016 2015 Cash equivalents: Federated-money market $ 16,087 2 % $ 15,590 3 % Fixed income: Corporate obligations 212,967 28 205,081 34 U.S. Government Obligations 157,764 21 64,456 11 Mutual funds-fixed income 27,851 4 32,874 6 U.S. Government Agencies 7,201 1 6,979 1 Equities: Mutual funds-equities 134,832 18 136,026 23 Common stock 144,754 19 120,046 20 Preferred stock 4,778 1 — — Exchange Traded Funds 28,101 4 6,530 1 Limited Partnerships 11,390 2 6,635 1 Fair value of plan assets $ 745,725 100 % $ 594,217 100 % |
Schedule of expected benefit payments | At December 31, 2016 , the following table shows when benefit payments were expected to be paid: (dollar amounts in thousands) Pension Benefits Post- Retirement Benefits 2017 $ 46,199 $ 923 2018 45,077 761 2019 43,720 684 2020 41,827 640 2021 41,528 606 2022 through 2026 205,278 2,482 |
Schedule of amounts recognized in balance sheet | The following table presents the amounts recognized in the Consolidated Balance Sheets at December 31, 2016 and 2015 , for all defined benefit plans: (dollar amounts in thousands) 2016 2015 Noncurrent liabilities 169,657 192,734 |
Schedule of amounts recognized in OCI | The following tables present the amounts recognized in OCI as of December 31, 2016 , 2015 , and 2014 , and the changes in accumulated OCI for the years ended December 31, 2016 , 2015 , and 2014 : (dollar amounts in thousands) 2016 2015 2014 Net actuarial loss $ (217,863 ) $ (243,984 ) $ (240,197 ) Prior service cost 11,958 13,237 14,517 Defined benefit pension plans $ (205,905 ) $ (230,747 ) $ (225,680 ) 2016 (dollar amounts in thousands) Pretax Tax (expense) Benefit After-tax Balance, beginning of year $ (354,997 ) $ 124,250 $ (230,747 ) Net actuarial (loss) gain: Amounts arising during the year 37,818 (13,236 ) 24,582 Amortization included in net periodic benefit costs 2,368 (829 ) 1,539 Prior service cost: Amounts arising during the year — — — Amortization included in net periodic benefit costs (1,968 ) 689 (1,279 ) Balance, end of year $ (316,779 ) $ 110,874 $ (205,905 ) 2015 (dollar amounts in thousands) Pretax Tax (expense) Benefit After-tax Balance, beginning of year $ (347,202 ) $ 121,522 $ (225,680 ) Net actuarial (loss) gain: Amounts arising during the year (25,520 ) 8,931 (16,589 ) Amortization included in net periodic benefit costs 19,693 (6,892 ) 12,801 Prior service cost: Amounts arising during the year — — — Amortization included in net periodic benefit costs (1,968 ) 689 (1,279 ) Balance, end of year $ (354,997 ) $ 124,250 $ (230,747 ) 2014 (dollar amounts in thousands) Pretax Tax (expense) Benefit After-tax Balance, beginning of year $ (240,345 ) $ 84,122 $ (156,223 ) Net actuarial (loss) gain: Amounts arising during the year (133,085 ) 46,580 (86,505 ) Amortization included in net periodic benefit costs 19,056 (6,670 ) 12,386 Prior service cost: Amounts arising during the year 8,781 (3,073 ) 5,708 Amortization included in net periodic benefit costs (1,609 ) 563 (1,046 ) Balance, end of year $ (347,202 ) $ 121,522 $ (225,680 ) |
Defined contribution plan disclosures | The following table shows the costs of providing the defined contribution plan: Year ended December 31, (dollar amounts in thousands) 2016 2015 2014 Defined contribution plan $ 36,107 $ 31,896 $ 31,110 |
Schedule of Huntington stock statistics for defined contribution plan | The following table shows the number of shares, market value, and dividends received on shares of Huntington stock held by the defined contribution plan: December 31, (dollar amounts in thousands, except share amounts) 2016 2015 Shares in Huntington common stock 11,748,379 13,076,164 Market value of Huntington common stock $ 162,245 $ 144,622 Dividends received on shares of Huntington stock 3,692 3,076 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Reconciliation of gross unrecognized tax benefits | The following table provides a reconciliation of the beginning and ending amounts of gross unrecognized tax benefits: (dollar amounts in thousands) 2016 2015 Unrecognized tax benefits at beginning of year $ 23,104 $ 1,172 Gross increases for tax positions taken during current period 657 23,104 Gross increases for tax positions taken during prior years — — Gross decreases for tax positions taken during prior years — (1,172 ) Unrecognized tax benefits at end of year $ 23,761 $ 23,104 |
Summary of provision (benefit) for income taxes | The following is a summary of the provision (benefit) for income taxes: Year Ended December 31, (dollar amounts in thousands) 2016 2015 2014 Current tax provision (benefit) Federal $ 39,738 $ 146,195 $ 186,436 State 3,456 5,677 (1,017 ) Total current tax provision (benefit) 43,194 151,872 185,419 Deferred tax provision (benefit) Federal 160,610 66,823 41,167 State 4,137 1,953 (5,993 ) Total deferred tax provision (benefit) 164,747 68,776 35,174 Provision for income taxes $ 207,941 $ 220,648 $ 220,593 |
Reconcilement of provision (benefit) for income taxes | The following is a reconciliation for provision for income taxes: Year Ended December 31, (dollar amounts in thousands) 2016 2015 2014 Provision for income taxes computed at the statutory rate $ 321,925 $ 319,762 $ 298,545 Increases (decreases): Tax-exempt income (27,453 ) (20,839 ) (17,971 ) Tax-exempt bank owned life insurance income (20,149 ) (18,340 ) (19,967 ) General business credits (64,151 ) (47,894 ) (46,047 ) State deferred tax asset valuation allowance adjustment, net — — (7,430 ) Capital loss (45,500 ) (46,288 ) (26,948 ) Affordable housing investment amortization, net of tax benefits 36,848 31,741 33,752 State income taxes, net 4,936 4,960 2,873 Other 1,485 (2,454 ) 3,786 Provision for income taxes $ 207,941 $ 220,648 $ 220,593 |
Significant components of deferred tax assets and liabilities | The significant components of deferred tax assets and liabilities at December 31, were as follows: At December 31, (dollar amounts in thousands) 2016 2015 Deferred tax assets: Allowances for credit losses $ 254,977 $ 238,415 Fair value adjustments 216,768 121,642 Net operating and other loss carryforward 140,842 61,492 Tax credit carryforward 76,328 1,823 Accrued expense/prepaid 64,380 44,733 Pension and other employee benefits 34,921 2,405 Partnership investments 22,514 21,614 Market discount 8,295 11,781 Purchase accounting adjustments — 41,917 Other 10,506 11,645 Total deferred tax assets 829,531 557,467 Deferred tax liabilities: Lease financing 325,091 261,078 Loan origination costs 137,577 114,488 Purchase accounting adjustments 74,371 6,944 Securities adjustments 55,786 19,952 Operating assets 54,372 46,685 Mortgage servicing rights 51,440 48,514 Pension and other employee benefits — — Other 8,796 5,463 Total deferred tax liabilities 707,433 503,124 Net deferred tax asset before valuation allowance 122,098 54,343 Valuation allowance (5,003 ) (3,620 ) Net deferred tax asset $ 117,095 $ 50,723 |
FAIR VALUES OF ASSETS AND LIA50
FAIR VALUES OF ASSETS AND LIABILITIES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Assets and liabilities measured at fair value on a recurring basis | Assets and liabilities measured at fair value on a recurring basis at December 31, 2016 and 2015 are summarized below: Fair Value Measurements at Reporting Date Using Netting Adjustments (1) December 31, 2016 (dollar amounts in thousands) Level 1 Level 2 Level 3 Assets Loans held for sale $ — $ 438,224 $ — $ — $ 438,224 Loans held for investment — 34,439 47,880 — 82,319 Trading account securities: Municipal securities — 1,148 — — 1,148 Other securities 132,147 — — — 132,147 132,147 1,148 — — 133,295 Available-for-sale and other securities: U.S. Treasury securities 5,497 — — — 5,497 Federal agencies: Mortgage-backed — 10,673,342 — — 10,673,342 Federal agencies: Other agencies — 73,542 — — 73,542 Municipal securities — 452,013 2,798,044 — 3,250,057 Asset-backed securities — 717,478 76,003 — 793,481 Corporate debt — 198,683 — — 198,683 Other securities 16,588 3,943 — — 20,531 22,085 12,119,001 2,874,047 — 15,015,133 MSRs — — 13,747 — 13,747 Derivative assets — 414,412 5,747 (181,940 ) 238,219 Liabilities Derivative liabilities — 362,777 7,870 (272,361 ) 98,286 Short-term borrowings 474 — — — 474 Fair Value Measurements at Reporting Date Using Netting Adjustments (1) December 31, 2015 (dollar amounts in thousands) Level 1 Level 2 Level 3 Assets Loans held for sale $ — $ 337,577 $ — $ — $ 337,577 Loans held for investment — 32,889 1,748 — 34,637 Trading account securities: Municipal securities — 4,159 — — 4,159 Other securities 32,475 363 — — 32,838 32,475 4,522 — — 36,997 Available-for-sale and other securities: U.S. Treasury securities 5,472 — — — 5,472 Federal agencies: Mortgage-backed — 4,521,688 — — 4,521,688 Federal agencies: Other agencies — 115,913 — — 115,913 Municipal securities — 360,845 2,095,551 — 2,456,396 Asset-backed securities — 761,076 100,337 — 861,413 Corporate debt — 466,477 — — 466,477 Other securities 11,397 3,899 — — 15,296 16,869 6,229,898 2,195,888 — 8,442,655 MSRs — — 17,585 — 17,585 Derivative assets — 429,448 6,721 (161,297 ) 274,872 Liabilities Derivative liabilities — 287,994 665 (144,309 ) 144,350 Short-term borrowings — 1,770 — — 1,770 (1) Amounts represent the impact of legally enforceable master netting agreements that allow the Company to settle positive and negative positions and cash collateral held or placed with the same counterparties. |
Roll forward of derivatives measured on a recurring basis and classified as Level 3 | The tables below present a rollforward of the balance sheet amounts for the years ended December 31, 2016 , 2015 , and 2014 for financial instruments measured on a recurring basis and classified as Level 3. The classification of an item as Level 3 is based on the significance of the unobservable inputs to the overall fair value measurement. However, Level 3 measurements may also include observable components of value that can be validated externally. Accordingly, the gains and losses in the table below include changes in fair value due in part to observable factors that are part of the valuation methodology. Level 3 Fair Value Measurements Available-for-sale securities (dollar amounts in thousands) MSRs Derivative instruments Municipal securities Asset- backed securities Loans held for investment Opening balance $ 17,585 $ 6,056 $ 2,095,551 $ 100,337 $ 1,748 Transfers into Level 3 — — — — — Transfers out of Level 3 (1) — (7,251 ) — — — Total gains/losses for the period: Included in earnings (3,838 ) (928 ) 7,049 (2,593 ) (2,353 ) Included in OCI — — (28,270 ) 6,448 — Purchases/originations — — 1,399,394 — 56,469 Sales — — (37,444 ) (25,196 ) — Repayments — — — — (7,984 ) Settlements — — (638,236 ) (2,993 ) — Closing balance $ 13,747 $ (2,123 ) $ 2,798,044 $ 76,003 $ 47,880 Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at end of the reporting date $ (3,838 ) $ (928 ) $ (33,415 ) $ 3,722 $ — (1) Transfers out of Level 3 represent the settlement value of the derivative instruments (i.e. interest rate lock agreements) that is transferred to loans held for sale, which is classified as Level 2. Level 3 Fair Value Measurements Available-for-sale securities (dollar amounts in thousands) MSRs Derivative instruments Municipal securities Private- label CMO Asset- backed securities Loans held for investment Opening balance $ 22,786 $ 3,360 $ 1,417,593 $ 30,464 $ 82,738 $ 10,590 Transfers into Level 3 — — — — — — Transfers out of Level 3 — (2,793 ) — — — — Total gains/losses for the period: Included in earnings (5,201 ) 5,489 149 47 (2,400 ) (497 ) Included in OCI — — (3,652 ) 1,832 24,802 — Purchases/originations — — 1,002,153 — — — Sales — — (9,656 ) (30,077 ) — — Repayments — — — — — (8,345 ) Settlements — — (311,036 ) (2,266 ) (4,803 ) — Closing balance $ 17,585 $ 6,056 $ 2,095,551 $ — $ 100,337 $ 1,748 Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at end of the reporting date $ (5,201 ) $ 5,489 $ — $ — $ (2,440 ) $ (497 ) Level 3 Fair Value Measurements Available-for-sale securities (dollar amounts in thousands) MSRs Derivative instruments Municipal securities Private label CMO Asset- backed securities Loans held for investment Balance, beginning of year $ 34,236 $ 2,390 $ 654,537 $ 32,140 $ 107,419 $ 52,286 Transfers into Level 3 — — — — — — Transfers out of Level 3 — — — — — — Total gains/losses for the period: Included in earnings (11,450 ) 3,047 — 36 226 (918 ) Included in OCI — — 14,776 452 21,839 — Purchases/originations — — 1,038,348 — — — Sales — — — — (22,870 ) — Repayments — — — — — (40,778 ) Settlements — (2,077 ) (290,068 ) (2,164 ) (23,876 ) — Balance, end of year $ 22,786 $ 3,360 $ 1,417,593 $ 30,464 $ 82,738 $ 10,590 Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at end of the reporting date $ (11,450 ) $ 3,047 $ 14,776 $ 452 $ 21,137 $ (1,624 ) |
Roll forward of assets measured on a recurring basis and classified as Level 3 | Level 3 Fair Value Measurements Available-for-sale securities (dollar amounts in thousands) MSRs Derivative instruments Municipal securities Asset- backed securities Loans held for investment Opening balance $ 17,585 $ 6,056 $ 2,095,551 $ 100,337 $ 1,748 Transfers into Level 3 — — — — — Transfers out of Level 3 (1) — (7,251 ) — — — Total gains/losses for the period: Included in earnings (3,838 ) (928 ) 7,049 (2,593 ) (2,353 ) Included in OCI — — (28,270 ) 6,448 — Purchases/originations — — 1,399,394 — 56,469 Sales — — (37,444 ) (25,196 ) — Repayments — — — — (7,984 ) Settlements — — (638,236 ) (2,993 ) — Closing balance $ 13,747 $ (2,123 ) $ 2,798,044 $ 76,003 $ 47,880 Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at end of the reporting date $ (3,838 ) $ (928 ) $ (33,415 ) $ 3,722 $ — (1) Transfers out of Level 3 represent the settlement value of the derivative instruments (i.e. interest rate lock agreements) that is transferred to loans held for sale, which is classified as Level 2. Level 3 Fair Value Measurements Available-for-sale securities (dollar amounts in thousands) MSRs Derivative instruments Municipal securities Private- label CMO Asset- backed securities Loans held for investment Opening balance $ 22,786 $ 3,360 $ 1,417,593 $ 30,464 $ 82,738 $ 10,590 Transfers into Level 3 — — — — — — Transfers out of Level 3 — (2,793 ) — — — — Total gains/losses for the period: Included in earnings (5,201 ) 5,489 149 47 (2,400 ) (497 ) Included in OCI — — (3,652 ) 1,832 24,802 — Purchases/originations — — 1,002,153 — — — Sales — — (9,656 ) (30,077 ) — — Repayments — — — — — (8,345 ) Settlements — — (311,036 ) (2,266 ) (4,803 ) — Closing balance $ 17,585 $ 6,056 $ 2,095,551 $ — $ 100,337 $ 1,748 Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at end of the reporting date $ (5,201 ) $ 5,489 $ — $ — $ (2,440 ) $ (497 ) Level 3 Fair Value Measurements Available-for-sale securities (dollar amounts in thousands) MSRs Derivative instruments Municipal securities Private label CMO Asset- backed securities Loans held for investment Balance, beginning of year $ 34,236 $ 2,390 $ 654,537 $ 32,140 $ 107,419 $ 52,286 Transfers into Level 3 — — — — — — Transfers out of Level 3 — — — — — — Total gains/losses for the period: Included in earnings (11,450 ) 3,047 — 36 226 (918 ) Included in OCI — — 14,776 452 21,839 — Purchases/originations — — 1,038,348 — — — Sales — — — — (22,870 ) — Repayments — — — — — (40,778 ) Settlements — (2,077 ) (290,068 ) (2,164 ) (23,876 ) — Balance, end of year $ 22,786 $ 3,360 $ 1,417,593 $ 30,464 $ 82,738 $ 10,590 Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at end of the reporting date $ (11,450 ) $ 3,047 $ 14,776 $ 452 $ 21,137 $ (1,624 ) |
Classification of gains and losses due to changes in fair value, recorded in earnings for Level 3 assets and liabilities | The tables below summarize the classification of gains and losses due to changes in fair value, recorded in earnings for Level 3 assets and liabilities for the years ended December 31, 2016 , 2015 , and 2014 : Level 3 Fair Value Measurements Available-for-sale securities (dollar amounts in thousands) MSRs Derivative instruments Municipal securities Asset- backed securities Loans held for investment Classification of gains and losses in earnings: Mortgage banking income $ (3,838 ) $ (928 ) $ — $ — $ — Securities gains (losses) — — 788 (2,598 ) — Interest and fee income — — — — — Noninterest income — — 6,261 5 (2,353 ) Total $ (3,838 ) $ (928 ) $ 7,049 $ (2,593 ) $ (2,353 ) Level 3 Fair Value Measurements Available-for-sale securities (dollar amounts in thousands) MSRs Derivative instruments Municipal securities Private- label CMO Asset- backed securities Loans held for investment Classification of gains and losses in earnings: Mortgage banking income $ (5,201 ) $ 5,489 $ — $ — $ — $ — Securities gains (losses) — — 149 — (2,440 ) — Interest and fee income — — — 47 40 (497 ) Noninterest income — — — — — — Total $ (5,201 ) $ 5,489 $ 149 $ 47 $ (2,400 ) $ (497 ) Level 3 Fair Value Measurements Available-for-sale securities (dollar amounts in thousands) MSRs Derivative instruments Municipal securities Private label CMO Asset- backed securities Loans held for investment Classification of gains and losses in earnings: Mortgage banking income (loss) $ (11,450 ) $ 3,047 $ — $ — $ — $ — Securities gains (losses) — — — — 170 — Interest and fee income — — — 36 56 (1,032 ) Noninterest income — — — — — 114 Total $ (11,450 ) $ 3,047 $ — $ 36 $ 226 $ (918 ) |
Assets and liabilities under the fair value option | The following table presents the fair value and aggregate principal balance of certain assets and liabilities under the fair value option: December 31, 2016 Total Loans Loans that are 90 or more days past due (dollar amounts in thousands) Fair value Aggregate Difference Fair value Aggregate Difference Assets Loans held for sale $ 438,224 $ 433,760 $ 4,464 $ — $ — $ — Loans held for investment 82,319 91,998 (9,679 ) 8,408 11,082 (2,674 ) December 31, 2015 Total Loans Loans that are 90 or more days past due (dollar amounts in thousands) Fair value Aggregate Difference Fair value Aggregate Difference Assets Loans held for sale $ 337,577 $ 326,802 $ 10,775 $ 1,268 $ 1,294 $ (26 ) Loans held for investment 34,637 35,385 $ (748 ) 428 497 $ (69 ) The following tables present the net gains (losses) from fair value changes, including net gains (losses) associated with instrument specific credit risk for the years ended December 31, 2016 , 2015 , and 2014 : Net gains (losses) from fair value changes Year ended December 31, (dollar amounts in thousands) 2016 2015 2014 Assets Loans held for sale $ 6,741 $ (2,342 ) $ (1,978 ) Loans held for investment — (568 ) (918 ) Gains (losses) included in fair value changes associated with instrument specific credit risk Year ended December 31, (dollar amounts in thousands) 2016 2015 2014 Assets Loans held for investment $ 436 $ 199 $ 911 |
Assets measured at fair value on a nonrecurring basis | For the year ended December 31, 2016 , assets measured at fair value on a nonrecurring basis were as follows: Fair Value Measurements Using (dollar amounts in thousands) Fair Value Quoted Prices In Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Other Unobservable Inputs (Level 3) Total MSRs $ 171,309 $ — $ — $ 171,309 $ 1,918 Impaired loans 53,818 — — 53,818 11,412 Other real estate owned 50,930 — — 50,930 (620 ) |
Quantitative information about significant unobservable level 3 fair value measurement inputs | The table below presents quantitative information about the significant unobservable inputs for assets and liabilities measured at fair value on a recurring and nonrecurring basis at December 31, 2016 : Quantitative Information about Level 3 Fair Value Measurements at December 31, 2016 (dollar amounts in thousands) Fair Value Valuation Technique Significant Unobservable Input Range (Weighted Average) Measured at fair value on a recurring basis: MSRs $ 13,747 Discounted cash flow Constant prepayment rate 5.63% - 34.4% (10.9%) Spread over forward interest rate 3.0% - 9.2% (5.4%) Derivative assets 5,747 Consensus Pricing Net market price -7.1% - 25.4% (1.1%) Derivative liabilities 7,870 Estimated Pull through % 8.1% - 99.8% (76.9%) Municipal securities 2,798,044 Discounted cash flow Discount rate 0.0% - 10.0% (3.6%) Cumulative default 0.3% - 37.8% (4.0%) Loss given default 5.0% - 80.0% (24.1%) Asset-backed securities 76,003 Discounted cash flow Discount rate 5.0% - 12.0% (6.3%) Cumulative prepayment rate 0.0% - 73% (6.5%) Cumulative default 1.1% - 100% (11.2%) Loss given default 85% - 100% (96.3%) Cure given deferral 0.0% - 75.0% (36.2%) Loans held for investment 47,880 Discounted cash flow Discount rate 5.4% - 16.2% (5.6%) Measured at fair value on a nonrecurring basis: MSRs 171,309 Discounted cash flow Constant prepayment rate 5.57% - 30.4% (7.8%) Spread over forward interest rate 4.2% - 20.0% (11.7%) Impaired loans 53,818 Appraisal value NA NA Other real estate owned 50,930 Appraisal value NA NA |
Fair value by balance sheet grouping | The following table provides the carrying amounts and estimated fair values of Huntington’s financial instruments that are carried either at fair value or cost at December 31, 2016 and December 31, 2015 : December 31, 2016 December 31, 2015 Carrying Fair Carrying Fair (dollar amounts in thousands) Amount Value Amount Value Financial Assets: Cash and short-term assets $ 1,443,037 $ 1,443,037 $ 898,994 $ 898,994 Trading account securities 133,295 133,295 36,997 36,997 Loans held for sale 512,951 515,640 474,621 484,511 Available-for-sale and other securities 15,562,837 15,562,837 8,775,441 8,775,441 Held-to-maturity securities 7,806,939 7,787,268 6,159,590 6,135,458 Net loans and direct financing leases 66,323,583 66,294,639 49,743,256 48,024,998 Derivatives 238,219 238,219 274,872 274,872 Financial Liabilities: Deposits 75,607,717 76,161,091 55,294,979 55,299,435 Short-term borrowings 3,692,654 3,692,654 615,279 615,279 Long-term debt 8,309,159 8,387,444 7,041,364 7,016,789 Derivatives 98,286 98,286 144,350 144,350 The following table presents the level in the fair value hierarchy for the estimated fair values of only Huntington’s financial instruments that are not already on the Consolidated Balance Sheets at fair value at December 31, 2016 and December 31, 2015 : Estimated Fair Value Measurements at Reporting Date Using December 31, 2016 (dollar amounts in thousands) Level 1 Level 2 Level 3 Financial Assets Held-to-maturity securities $ — $ 7,787,268 $ — $ 7,787,268 Net loans and direct financing leases — — 66,294,639 66,294,639 Financial Liabilities Deposits — 72,319,328 3,841,763 76,161,091 Short-term borrowings 474 — 3,692,180 3,692,654 Long-term debt — 7,980,176 407,268 8,387,444 Estimated Fair Value Measurements at Reporting Date Using December 31, 2015 (dollar amounts in thousands) Level 1 Level 2 Level 3 Financial Assets Held-to-maturity securities $ — $ 6,135,458 $ — $ 6,135,458 Net loans and direct financing leases — — 48,024,998 48,024,998 Financial Liabilities Deposits — 51,869,105 3,430,330 55,299,435 Short-term borrowings — 1,770 613,509 615,279 Long-term debt — — 7,016,789 7,016,789 |
DERIVATIVE FINANCIAL INSTRUME51
DERIVATIVE FINANCIAL INSTRUMENTS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Gross notional values of derivatives used in asset and liability management activities | The following table presents the gross notional values of derivatives used in Huntington’s asset and liability management activities at December 31, 2016 , identified by the underlying interest rate-sensitive instruments: (dollar amounts in thousands) Fair Value Hedges Cash Flow Hedges Total Instruments associated with: Loans $ — $ 3,325,000 $ 3,325,000 Deposits — — — Subordinated notes 950,000 — 950,000 Long-term debt 6,525,000 — 6,525,000 Total notional value at December 31, 2016 $ 7,475,000 $ 3,325,000 $ 10,800,000 |
Additional information about the interest rate swaps used in asset and liability management activities | The following table presents additional information about the interest rate swaps used in Huntington’s asset and liability management activities at December 31, 2016 : Weighted-Average (dollar amounts in thousands) Notional Value Average Maturity (years) Fair Value Receive Pay Asset conversion swaps Receive fixed—generic $ 3,325,000 0.6 $ (2,060 ) 1.04 % 0.91 % Liability conversion swaps Receive fixed—generic 7,475,000 3.1 (51,496 ) 1.49 0.88 Total swap portfolio at December 31, 2016 $ 10,800,000 2.3 $ (53,556 ) 1.35 % 0.89 % |
Asset and liability derivatives included in accrued income and other assets | The following table presents the fair values at December 31, 2016 and 2015 of Huntington’s derivatives that are designated and not designated as hedging instruments. Amounts in the table below are presented gross without the impact of any net collateral arrangements: Asset derivatives included in accrued income and other assets: (dollar amounts in thousands) December 31, 2016 December 31, 2015 Interest rate contracts designated as hedging instruments $ 46,440 $ 80,513 Interest rate contracts not designated as hedging instruments 213,587 190,846 Foreign exchange contracts not designated as hedging instruments 23,265 37,727 Commodity contracts not designated as hedging instruments 108,026 117,894 Equity contracts not designated as hedging instruments 9,775 — Total contracts $ 401,093 $ 426,980 Liability derivatives included in accrued expenses and other liabilities: (dollar amounts in thousands) December 31, 2016 December 31, 2015 Interest rate contracts designated as hedging instruments $ 99,996 $ 15,215 Interest rate contracts not designated as hedging instruments 143,976 121,815 Foreign exchange contracts not designated as hedging instruments 19,576 35,283 Commodity contracts not designated as hedging instruments 104,328 114,887 Equity contracts not designated as hedging instruments — — Total contracts $ 367,876 $ 287,200 |
Increase or (decrease) to interest expense for derivatives designated as fair value hedges | The following table presents the change in fair value for derivatives designated as fair value hedges as well as the offsetting change in fair value on the hedged item: Year ended December 31, (dollar amounts in thousands) 2016 2015 2014 Interest rate contracts Change in fair value of interest rate swaps hedging deposits (1) $ (82 ) $ (996 ) $ (1,045 ) Change in fair value of hedged deposits (1) 72 992 1,025 Change in fair value of interest rate swaps hedging subordinated notes (2) (47,852 ) (8,237 ) 476 Change in fair value of hedged subordinated notes (2) 45,019 8,237 (476 ) Change in fair value of interest rate swaps hedging long-term debt (2) (74,481 ) 3,903 1,990 Change in fair value of hedged other long-term debt (2) 67,389 (3,602 ) 828 (1) Effective portion of the hedging relationship is recognized in Interest expense—deposits in the Consolidated Statements of Income. Any resulting ineffective portion of the hedging relationship is recognized in noninterest income in the Consolidated Statements of Income. (2) Effective portion of the hedging relationship is recognized in Interest expense—subordinated notes and other long-term debt in the Consolidated Statements of Income. Any resulting ineffective portion of the hedging relationship is recognized in noninterest income in the Consolidated Statements of Income. |
Gains and (losses) recognized in other comprehensive income (loss) (OCI) for derivatives designated as effective cash flow hedges | The following table presents the gains and (losses) recognized in OCI and the location in the Consolidated Statements of Income of gains and (losses) reclassified from OCI into earnings for derivatives designated as effective cash flow hedges: Derivatives in cash flow hedging relationships Amount of gain or (loss) recognized in OCI on derivatives (effective portion) Location of gain or (loss) reclassified from accumulated OCI into earnings (effective portion) Amount of (gain) or loss reclassified from accumulated OCI into earnings (effective portion) (pre-tax) (dollar amounts in thousands) 2016 2015 2014 2016 2015 2014 Interest rate contracts Loans $ 1,548 $ 8,428 $ 9,192 Interest and fee income—loans and leases $ (361 ) $ (210 ) $ (4,064 ) Investment securities — — — Noninterest income - other income 1 (10 ) 93 Total $ 1,548 $ 8,428 $ 9,192 $ (360 ) $ (220 ) $ (3,971 ) |
Gains and (losses) recognized in noninterest income on the ineffective portion on interest rate contracts for derivatives designated as fair value and cash flow hedges | The following table presents the gains and (losses) recognized in noninterest income for the ineffective portion of interest rate contracts for derivatives designated as cash flow hedges for the years ending December 31, 2016 , 2015 , and 2014 : December 31, (dollar amounts in thousands) 2016 2015 2014 Derivatives in cash flow hedging relationships Interest rate contracts: Loans $ (317 ) $ (763 ) $ 74 |
Offsetting of financial assets and derivatives assets | The following tables present the gross amounts of these assets and liabilities with any offsets to arrive at the net amounts recognized in the Consolidated Balance Sheets at December 31, 2016 and December 31, 2015 : Offsetting of Financial Assets and Derivative Assets Gross amounts not offset in the consolidated balance sheets (dollar amounts in thousands) Gross amounts of recognized assets Gross amounts offset in the consolidated balance sheets Net amounts of assets presented in the consolidated balance sheets Financial instruments Cash collateral received Net amount Offsetting of Financial Assets and Derivative Assets December 31, 2016 Derivatives $ 420,159 $ (181,940 ) $ 238,219 $ (34,328 ) $ (5,428 ) $ 198,463 December 31, 2015 Derivatives 436,169 (161,297 ) 274,872 (39,305 ) (3,462 ) 232,105 |
Offsetting of financial liabilities and derivative liabilities | Offsetting of Financial Liabilities and Derivative Liabilities Gross amounts not offset in the consolidated balance sheets (dollar amounts in thousands) Gross amounts of recognized liabilities Gross amounts offset in the consolidated balance sheets Net amounts of assets presented in the consolidated balance sheets Financial instruments Cash collateral delivered Net amount Offsetting of Financial Liabilities and Derivative Liabilities December 31, 2016 Derivatives $ 370,647 $ (272,361 ) $ 98,286 $ (7,550 ) $ (23,943 ) $ 66,793 December 31, 2015 Derivatives 288,659 (144,309 ) 144,350 (62,460 ) (20 ) 81,870 |
Derivative assets and liabilities used in mortgage banking activities | The following table summarizes the derivative assets and liabilities used in mortgage banking activities: (dollar amounts in thousands) December 31, 2016 December 31, 2015 Derivative assets: Interest rate lock agreements $ 5,747 $ 6,721 Forward trades and options 13,319 2,468 Total derivative assets 19,066 9,189 Derivative liabilities: Interest rate lock agreements (1,598 ) (220 ) Forward trades and options (1,173 ) (1,239 ) Total derivative liabilities (2,771 ) (1,459 ) Net derivative asset $ 16,295 $ 7,730 |
VIEs (Tables)
VIEs (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Carrying amount and classification of the trusts assets and liabilities | The following tables present the carrying amount and classification of the consolidated trusts’ assets and liabilities that were included in the Consolidated Balance Sheets at December 31, 2016 and 2015 : December 31, 2016 Huntington Technology Other Consolidated VIEs Total (dollar amounts in thousands) Series 2014A Assets: Cash $ 1,564 $ — $ 1,564 Net loans and leases 69,825 — 69,825 Accrued income and other assets — 281 281 Total assets $ 71,389 $ 281 $ 71,670 Liabilities: Other long-term debt $ 57,494 $ — $ 57,494 Accrued interest and other liabilities — 281 281 Total liabilities 57,494 281 57,775 Equity: Beneficial Interest owned by third party 13,895 — 13,895 Total liabilities and equity $ 71,389 $ 281 $ 71,670 December 31, 2015 Huntington Technology Other Consolidated VIEs Total (dollar amounts in thousands) Series 2012A Series 2014A Assets: Cash $ 1,377 $ 1,561 $ — $ 2,938 Net loans and leases 32,180 152,331 — 184,511 Accrued income and other assets — — 229 229 Total assets $ 33,557 $ 153,892 $ 229 $ 187,678 Liabilities: Other long-term debt $ 27,153 $ 123,577 $ — $ 150,730 Accrued interest and other liabilities — — 229 229 Total liabilities 27,153 123,577 229 150,959 Equity: Beneficial Interest owned by third party $ 6,404 $ 30,315 — 36,719 Total liabilities and equity $ 33,557 $ 153,892 $ 229 $ 187,678 The following tables provide a summary of the assets and liabilities included in Huntington’s Consolidated Financial Statements, as well as the maximum exposure to losses, associated with its interests related to unconsolidated VIEs for which Huntington holds an interest, but is not the primary beneficiary, to the VIE at December 31, 2016 , and 2015 : December 31, 2016 (dollar amounts in thousands) Total Assets Total Liabilities Maximum Exposure to Loss 2016-1 Automobile Trust $ 14,770 $ — $ 14,770 2015-1 Automobile Trust 2,227 — 2,227 2012-1 Automobile Trust — — — 2012-2 Automobile Trust — — — Trust Preferred Securities 13,919 252,552 — Low Income Housing Tax Credit Partnerships 576,880 292,721 576,880 Other Investments 79,195 42,316 79,195 Total $ 686,991 $ 587,589 $ 673,072 December 31, 2015 (dollar amounts in thousands) Total Assets Total Liabilities Maximum Exposure to Loss 2015-1 Automobile Trust $ 7,695 $ — $ 7,695 2012-1 Automobile Trust 94 — 94 2012-2 Automobile Trust 771 — 771 Trust Preferred Securities 13,919 317,106 — Low Income Housing Tax Credit Partnerships 425,500 196,001 425,500 Other Investments 68,746 25,762 68,746 Total $ 516,725 $ 538,869 $ 502,806 |
Summary of outstanding trust preferred securities | Huntington’s long-term debt consisted of the following: At December 31, (dollar amounts in thousands) 2016 2015 The Parent Company: Senior Notes: 3.19% Huntington Bancshares Incorporated medium-term notes due 2021 $ 972,625 $ — 2.33% Huntington Bancshares Incorporated senior note due 2022 953,674 — 2.64% Huntington Bancshares Incorporated senior note due 2018 399,278 399,169 Subordinated Notes: 7.00% Huntington Bancshares Incorporated subordinated notes due 2020 319,857 326,379 3.55% Huntington Bancshares Incorporated subordinated notes due 2023 248,156 — Sky Financial Capital Trust IV 2.40% junior subordinated debentures due 2036 (1) 74,320 74,320 Sky Financial Capital Trust III 2.40% junior subordinated debentures due 2036 (1) 72,165 72,165 Huntington Capital I Trust Preferred 1.70% junior subordinated debentures due 2027 (2) 68,720 110,706 Huntington Capital II Trust Preferred 1.06% junior subordinated debentures due 2028 (3) 31,576 54,030 Camco Statutory Trust I 2.30% due 2037 (4) 4,244 4,212 Total notes issued by the parent 3,144,615 1,040,981 The Bank: Senior Notes: 2.24% Huntington National Bank senior notes due 2018 843,568 841,313 2.10% Huntington National Bank senior notes due 2018 747,170 745,894 1.75% Huntington National Bank senior notes due 2018 499,732 501,006 1.43% Huntington National Bank senior note due 2019 499,686 498,678 2.23% Huntington National Bank senior note due 2017 499,445 500,416 2.43% Huntington National Bank senior notes due 2020 498,448 498,185 2.97% Huntington National Bank senior notes due 2020 495,088 495,998 1.42% Huntington National Bank senior notes due 2017 (5) 250,000 250,000 5.04% Huntington National Bank medium-term notes due 2018 36,351 37,469 1.31% Huntington National Bank senior note due 2016 — 498,360 1.40% Huntington National Bank senior note due 2016 — 349,399 Subordinated Notes: 3.86% Huntington National Bank subordinated notes due 2026 239,293 — 6.67% Huntington National Bank subordinated notes due 2018 131,910 136,227 5.45% Huntington National Bank subordinated notes due 2019 81,155 83,833 5.59% Huntington National Bank subordinated notes due 2016 — 103,357 Total notes issued by the bank 4,821,846 5,540,135 FHLB Advances: 3.47% weighted average rate, varying maturities greater than one year 7,540 7,800 Other: Huntington Technology Finance nonrecourse debt, 3.43% effective interest rate, varying maturities 277,523 301,577 Huntington Technology Finance ABS Trust 2014 1.70% due 2020 57,494 123,577 Huntington Technology Finance ABS Trust 2012 1.79% due 2017 — 27,153 Other 141 141 Total other 335,158 452,448 Total long-term debt $ 8,309,159 $ 7,041,364 (1) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 1.400% (2) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 0.70% (3) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 0.625% (4) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 1.33% . (5) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 0.425% . The trust securities are the obligations of the trusts, and as such, are not consolidated within Huntington’s Consolidated Financial Statements. A list of trust-preferred securities outstanding at December 31, 2016 follows: (dollar amounts in thousands) Rate Principal amount of subordinated note/ debenture issued to trust (1) Investment in unconsolidated subsidiary Huntington Capital I 1.59 % (2) $ 69,730 $ 6,186 Huntington Capital II 1.59 (3) 32,093 3,093 Sky Financial Capital Trust III 2.40 (4) 72,165 2,165 Sky Financial Capital Trust IV 2.25 (4) 74,320 2,320 Camco Financial Trust 3.43 (5) 4,244 155 Total $ 252,552 $ 13,919 (1) Represents the principal amount of debentures issued to each trust, including unamortized original issue discount. (2) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 0.70 . (3) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 62.5 . (4) Variable effective rate at December 31, 2016 , based on three-month LIBOR + 1.40 . (5) Variable effective rate (including impact of purchase accounting accretion) at December 31, 2016 , based on three month LIBOR + 1.33 . |
COMMITMENTS AND CONTINGENT LI53
COMMITMENTS AND CONTINGENT LIABILITIES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contract amounts of various commitments to extend credit | The contract amounts of these financial agreements at December 31, 2016 , and December 31, 2015 were as follows: At December 31, (dollar amounts in thousands) 2016 2015 Contract amount represents credit risk Commitments to extend credit: Commercial $ 15,190,056 $ 11,448,927 Consumer 12,235,943 8,574,093 Commercial real estate 1,697,671 813,271 Standby letters of credit 637,182 511,706 Commercial letters-of-credit 4,610 56,119 |
OTHER REGULATORY MATTERS (Table
OTHER REGULATORY MATTERS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Banking and Thrift [Abstract] | |
Period-end capital amounts and capital ratios | Well- December 31, capitalized Minimum 2016 2015 Capital Capital Basel III (dollar amounts in thousands) Ratios Ratios Ratio Amount Ratio Amount Common equity tier 1 risk-based capital Consolidated N.A. 4.50 % 9.56 % $ 7,485,816 9.79 % $ 5,721,028 Bank 6.50 % 4.50 10.42 8,153,091 9.46 5,518,748 Tier 1 risk-based capital Consolidated 6.00 6.00 10.92 8,547,154 10.53 6,154,000 Bank 8.00 6.00 11.61 9,085,921 9.83 5,735,274 Total risk-based capital Consolidated 10.00 8.00 13.05 10,215,627 12.64 7,386,936 Bank 10.00 8.00 13.83 10,817,597 11.74 6,850,596 Tier 1 leverage capital Consolidated N.A. 4.00 8.70 8,547,154 8.79 6,154,000 Bank 5.00 4.00 9.29 9,085,921 8.21 5,735,274 |
PARENT COMPANY FINANCIAL STAT55
PARENT COMPANY FINANCIAL STATEMENTS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Balance Sheets | The parent-only financial statements, which include transactions with subsidiaries, are as follows: Balance Sheets December 31, (dollar amounts in thousands) 2016 2015 Assets Cash and due from banks $ 1,752,889 $ 917,368 Due from The Huntington National Bank 730,004 406,253 Due from non-bank subsidiaries 45,193 48,151 Investment in The Huntington National Bank 10,668,303 5,966,783 Investment in non-bank subsidiaries 499,611 489,205 Accrued interest receivable and other assets 320,666 192,444 Total assets $ 14,016,666 $ 8,020,204 Liabilities and shareholders’ equity Long-term borrowings $ 3,144,615 $ 1,040,981 Dividends payable, accrued expenses, and other liabilities 563,905 384,617 Total liabilities 3,708,520 1,425,598 Shareholders’ equity (1) 10,308,146 6,594,606 Total liabilities and shareholders’ equity $ 14,016,666 $ 8,020,204 (1) See Consolidated Statements of Changes in Shareholders’ Equity. |
Statements of Income | Statements of Income Year Ended December 31, (dollar amounts in thousands) 2016 2015 2014 Income Dividends from The Huntington National Bank $ 188,200 $ 822,000 $ 244,000 Non-bank subsidiaries 11,378 38,883 27,773 Interest from The Huntington National Bank 13,892 5,954 3,906 Non-bank subsidiaries 2,221 2,317 2,613 Other — 4,529 2,994 Total income 215,691 873,683 281,286 Expense Personnel costs 11,960 4,770 53,359 Interest on borrowings 59,027 17,428 17,031 Other 122,869 92,735 52,662 Total expense 193,856 114,933 123,052 Income (loss) before income taxes and equity in undistributed net income of subsidiaries 21,835 758,750 158,234 Provision (benefit) for income taxes (56,255 ) (109,867 ) (62,897 ) Income (loss) before equity in undistributed net income of subsidiaries 78,090 868,617 221,131 Increase (decrease) in undistributed net income (loss) of: The Huntington National Bank 629,220 (160,567 ) 414,049 Non-bank subsidiaries 4,511 (15,093 ) (2,788 ) Net income $ 711,821 $ 692,957 $ 632,392 Other comprehensive income (loss) (1) (174,858 ) (3,866 ) (8,283 ) Comprehensive income $ 536,963 $ 689,091 $ 624,109 (1) See Consolidated Statements of Comprehensive Income for other comprehensive income (loss) detail. |
Statements of Cash Flows | Statements of Cash Flows Year Ended December 31, (dollar amounts in thousands) 2016 2015 2014 Operating activities Net income $ 711,821 $ 692,957 $ 632,392 Adjustments to reconcile net income to net cash provided by operating activities: Equity in undistributed net income of subsidiaries (633,730 ) 175,660 (411,261 ) Depreciation and amortization (1,390 ) 609 548 Loss on sales of securities available-for-sale — 540 — Other, net (23,600 ) (44,197 ) 26,685 Net cash (used for) provided by operating activities 53,101 825,569 248,364 Investing activities Repayments from subsidiaries 464,284 494,905 9,250 Advances to subsidiaries (1,758,745 ) (612,610 ) (32,350 ) Proceeds from sale of securities available-for-sale (1,589 ) 449 — Cash paid for acquisitions, net of cash received (133,218 ) — (13,452 ) Proceeds from business divestitures — 9,029 — Net cash (used for) provided by investing activities (1,429,268 ) (108,227 ) (36,552 ) Financing activities Proceeds from issuance of long-term borrowings 1,989,938 — — Payment of borrowings (64,586 ) — — Dividends paid on stock (299,588 ) (224,390 ) (198,789 ) Net proceeds from issuance of common stock — — 2,597 Net proceeds from issuance of preferred stock 584,936 — — Repurchases of common stock — (251,844 ) (334,429 ) Other, net 988 13,492 15,512 Net cash provided by (used for) financing activities 2,211,688 (462,742 ) (515,109 ) Increase (decrease) in cash and due from banks 835,521 254,600 (303,297 ) Cash and due from banks at beginning of year 917,368 662,768 966,065 Cash and due from banks at end of year $ 1,752,889 $ 917,368 $ 662,768 Supplemental disclosure: Interest paid $ 36,068 $ 17,384 $ 21,321 |
SEGMENT REPORTING (Tables)
SEGMENT REPORTING (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
Business Segment Financial Information | Listed below is certain financial information reconciled to Huntington’s December 31, 2016 , December 31, 2015 , and December 31, 2014 , reported results by business segment: Income Statements (dollar amounts in thousands) Consumer & Business Banking Commercial Banking CREVF RBHPCG Home Lending Treasury / Other Huntington Consolidated 2016 Net interest income $ 1,272,713 $ 512,995 $ 468,969 $ 177,431 $ 58,354 $ (121,144 ) $ 2,369,318 Provision (benefit) for credit losses 71,945 98,816 26,922 (3,467 ) (3,412 ) (2 ) 190,802 Noninterest income 558,811 275,258 40,582 120,687 90,358 64,035 1,149,731 Noninterest expense 1,208,585 385,783 170,276 196,194 124,683 322,964 2,408,485 Provision (benefit) for income taxes 192,848 106,279 109,324 36,887 9,604 (247,001 ) 207,941 Net income (loss) $ 358,146 $ 197,375 $ 203,029 $ 68,504 $ 17,837 $ (133,070 ) $ 711,821 2015 Net interest income $ 1,027,950 $ 379,409 $ 381,231 $ 139,188 $ 50,404 $ (27,445 ) $ 1,950,737 Provision (benefit) for credit losses 42,777 49,534 4,890 87 2,671 (5 ) 99,954 Noninterest income 478,142 258,778 29,254 114,814 87,021 70,721 1,038,730 Noninterest expense 1,099,779 284,026 152,010 195,667 144,848 99,578 1,975,908 Provision (benefit) for income taxes 127,238 106,619 88,755 20,387 (3,533 ) (118,818 ) 220,648 Net income (loss) $ 236,298 $ 198,008 $ 164,830 $ 37,861 $ (6,561 ) $ 62,521 $ 692,957 2014 Net interest income $ 912,992 $ 306,434 $ 379,363 $ 101,839 $ 58,015 $ 78,498 $ 1,837,141 Provision (benefit) for credit losses 75,529 31,521 (52,843 ) 4,893 21,889 — 80,989 Noninterest income 409,746 209,238 26,628 173,550 69,899 90,118 979,179 Noninterest expense 982,288 249,300 156,715 236,634 136,374 121,035 1,882,346 Provision (benefit) for income taxes 92,722 82,198 105,742 11,852 (10,622 ) (61,299 ) 220,593 Net income (loss) $ 172,199 $ 152,653 $ 196,377 $ 22,010 $ (19,727 ) $ 108,880 $ 632,392 |
Segment Disclosure of Assets and Deposits | Assets at December 31, Deposits at December 31, (dollar amounts in thousands) 2016 2015 2016 2015 Consumer & Business Banking $ 21,796,887 $ 15,759,561 $ 44,860,515 $ 30,964,241 Commercial Banking 23,918,429 17,022,387 15,616,241 11,498,883 CREVF 23,580,331 17,856,358 1,886,626 1,649,301 RBHPCG 5,553,012 4,277,970 8,521,401 7,530,241 Home Lending 3,502,304 3,080,690 639,418 361,881 Treasury / Other 21,363,134 13,021,335 4,083,516 3,290,432 Total $ 99,714,097 $ 71,018,301 $ 75,607,717 $ 55,294,979 |
QUARTERLY RESULTS OF OPERATIO57
QUARTERLY RESULTS OF OPERATIONS (UNAUDITED) (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of quarterly results of operations | The following is a summary of the quarterly results of operations, for the years ended December 31, 2016 and 2015 : Three months ended December 31, September 30, June 30, March 31, (dollar amounts in thousands, except per share data) 2016 2016 2016 2016 Interest income $ 814,858 $ 694,346 $ 565,658 $ 557,251 Interest expense 79,877 68,956 59,777 54,185 Net interest income 734,981 625,390 505,881 503,066 Provision for credit losses 74,906 63,805 24,509 27,582 Noninterest income 334,337 302,415 271,112 241,867 Noninterest expense 681,497 712,247 523,661 491,080 Income before income taxes 312,915 151,753 228,823 226,271 Provision for income taxes 73,952 24,749 54,283 54,957 Net income 238,963 127,004 174,540 171,314 Dividends on preferred shares 18,865 18,537 19,874 7,998 Net income applicable to common shares $ 220,098 $ 108,467 $ 154,666 $ 163,316 Net income per common share — Basic $ 0.20 $ 0.12 $ 0.19 $ 0.21 Net income per common share — Diluted 0.20 0.11 0.19 0.20 Three months ended December 31, September 30, June 30, March 31, (dollar amounts in thousands, except per share data) 2015 2015 2015 2015 Interest income $ 544,153 $ 538,477 $ 529,795 $ 502,096 Interest expense 47,242 43,022 39,109 34,411 Net interest income 496,911 495,455 490,686 467,685 Provision for credit losses 36,468 22,476 20,419 20,591 Noninterest income 272,215 253,119 281,773 231,623 Noninterest expense 498,766 526,508 491,777 458,857 Income before income taxes 233,892 199,590 260,263 219,860 Provision for income taxes 55,583 47,002 64,057 54,006 Net income 178,309 152,588 196,206 165,854 Dividends on preferred shares 7,972 7,968 7,968 7,965 Net income applicable to common shares $ 170,337 $ 144,620 $ 188,238 $ 157,889 Net income per common share — Basic $ 0.21 $ 0.18 $ 0.23 $ 0.19 Net income per common share — Diluted 0.21 0.18 0.23 0.19 |
SIGNIFICANT ACCOUNTING POLICI58
SIGNIFICANT ACCOUNTING POLICIES - Loans and Leases (Details) | 12 Months Ended |
Dec. 31, 2016USD ($)reservecomponent | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Allowance number of reserves | reserve | 2 |
Allowance number of components of reserve | component | 2 |
Commercial | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for nonperforming status | 90 days |
Threshold past due for write-off | 90 days |
Threshold outstanding balance for quarterly impairment evaluation | $ 1,000,000 |
CRE | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for nonperforming status | 90 days |
Threshold past due for write-off | 90 days |
Threshold outstanding balance for quarterly impairment evaluation | $ 1,000,000 |
Home Equity | First-lien home equity loan | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for nonperforming status | 150 days |
Threshold past due for write-off | 150 days |
Home Equity | Junior-lien home equity loan | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for nonperforming status | 120 days |
Threshold past due for write-off | 120 days |
Automobile | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for nonperforming status | 120 days |
Threshold past due for write-off | 120 days |
Consumer | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for nonperforming status | 120 days |
Threshold past due for write-off | 120 days |
Residential Mortgage | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Threshold period past due for nonperforming status | 150 days |
Threshold past due for write-off | 150 days |
SIGNIFICANT ACCOUNTING POLICI59
SIGNIFICANT ACCOUNTING POLICIES - Property, Plant, and Equipment (Details) | 12 Months Ended |
Dec. 31, 2016 | |
Buildings | Minimum | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment useful life | 30 years |
Buildings | Maximum | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment useful life | 40 years |
Building Improvements | Minimum | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment useful life | 10 years |
Building Improvements | Maximum | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment useful life | 30 years |
Land Improvements | Minimum | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment useful life | 5 years |
Land Improvements | Maximum | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment useful life | 20 years |
Equipment | Minimum | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment useful life | 3 years |
Equipment | Maximum | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment useful life | 10 years |
Furniture and Fixtures | Minimum | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment useful life | 5 years |
Furniture and Fixtures | Maximum | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment useful life | 20 years |
ACQUISITION OF FIRSTMERIT COR60
ACQUISITION OF FIRSTMERIT CORPORATION - Narrative (Details) $ / shares in Units, $ in Thousands, shares in Millions | Aug. 16, 2016USD ($)$ / sharesshares | Jul. 26, 2016Branch | Dec. 31, 2016USD ($)state | Sep. 30, 2016USD ($) | Jun. 30, 2016USD ($) | Mar. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($) | Dec. 31, 2016USD ($)state | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Aug. 15, 2016$ / shares |
Business Acquisition [Line Items] | ||||||||||||||
Goodwill | $ 1,992,849 | $ 676,869 | $ 1,992,849 | $ 676,869 | $ 522,541 | |||||||||
Number of States in which Entity Operates | state | 8 | 8 | ||||||||||||
Share Price | $ / shares | $ 9.68 | |||||||||||||
Net Income (Loss) Attributable to Parent | $ 238,963 | $ 127,004 | $ 174,540 | $ 171,314 | $ 178,309 | $ 152,588 | $ 196,206 | $ 165,854 | $ 711,821 | 692,957 | $ 632,392 | |||
Number of Branches to be Disposed | Branch | 13 | |||||||||||||
FirstMerit Bank | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Business Combination, Consideration Transferred | $ 3,700,000 | |||||||||||||
Payments to acquired business in cash | 836,879 | |||||||||||||
Goodwill | $ 1,320,818 | 1,300,000 | 1,300,000 | |||||||||||
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable, Per Share | $ / shares | $ 1.72 | |||||||||||||
Business Combination, Consideration Transferred, Cash Paid for Each Share of Acquired Entity's Shares | $ / shares | $ 5 | |||||||||||||
Consideration transferred, equity interest issued and issuable | $ 2,800,000 | |||||||||||||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares | shares | 285 | |||||||||||||
Business Acquisition, Goodwill, Expected Tax Deductible Amount | 339,000 | $ 339,000 | ||||||||||||
Business Acquisition, Goodwill, Expected Tax Deductible Amount, Term | 15 years | |||||||||||||
Common Stock | FirstMerit Bank | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Consideration transferred, equity interest issued and issuable | $ 2,766,773 | |||||||||||||
Preferred Stock | FirstMerit Bank | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Consideration transferred, equity interest issued and issuable | $ 104,320 | |||||||||||||
Core deposit intangible | FirstMerit Bank | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Finite-Lived Intangible Asset, Useful Life | 10 years | |||||||||||||
Amortization of Premiums and Accretion of Discounts on Acquired Loans, Securities, Deposits, and Long-term Debt | FirstMerit Bank | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Revenues | $ 12,000 | 18,000 | ||||||||||||
Amortization of Premiums and Accretion of Discounts on Previously Acquired Loans, Securities, and Deposits | FirstMerit Bank | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Revenues | 34,000 | 79,000 | ||||||||||||
Amortization of Acquired Intangibles | FirstMerit Bank | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Net Income (Loss) Attributable to Parent | (28,000) | $ (44,000) | ||||||||||||
Acquisition-related Costs | FirstMerit Bank | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Net Income (Loss) Attributable to Parent | 281,000 | |||||||||||||
Disposal Group, Held-for-sale, Not Discontinued Operations | Branches Sold In Connection with Acquisition of FirstMerit | ||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||
Disposal Group, Including Discontinued Operation, Deposit Liabilities | 620,000 | 620,000 | ||||||||||||
Disposal Group, Including Discontinued Operation, Accounts, Notes and Loans Receivable, Net | $ 106,000 | $ 106,000 |
ACQUISITION OF FIRSTMERIT COR61
ACQUISITION OF FIRSTMERIT CORPORATION - Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands | Aug. 16, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Assets acquired: | ||||
Bank owned life insurance | $ 633,612 | |||
Goodwill | $ 1,992,849 | $ 676,869 | $ 522,541 | |
Servicing rights | 15,317 | |||
FirstMerit Bank | ||||
Business Combination, Acquired Receivables [Abstract] | ||||
Business Combination, Acquired Receivables, Gross Contractual Amount | 15,745,467 | |||
Assets acquired: | ||||
Cash and due from banks | 703,661 | |||
Interest-bearing deposits in banks | 32,496 | |||
Business Combination, Acquired Receivables, Fair Value | 15,475,915 | |||
Loans held for sale | 150,576 | |||
Available for sale and other securities | 7,369,967 | |||
Premises and equipment | 228,635 | |||
Goodwill | 1,320,818 | $ 1,300,000 | ||
Accrued income and other assets | 506,578 | |||
Total assets acquired | 26,841,896 | |||
Liabilities assumed: | ||||
Deposits | 21,157,172 | |||
Short-Term Debt | 1,163,851 | |||
Long-term Debt | 519,971 | |||
Accrued Liabilities and Other Liabilities | 292,930 | |||
Total liabilities assumed | 23,133,924 | |||
Total consideration paid | 3,707,972 | |||
Business Combination, Consideration Transferred [Abstract] | ||||
Consideration transferred, equity interest issued and issuable | 2,800,000 | |||
Payments to acquired business in cash | 836,879 | |||
FirstMerit Bank | Common Stock | ||||
Business Combination, Consideration Transferred [Abstract] | ||||
Consideration transferred, equity interest issued and issuable | 2,766,773 | |||
FirstMerit Bank | Preferred Stock | ||||
Business Combination, Consideration Transferred [Abstract] | ||||
Consideration transferred, equity interest issued and issuable | 104,320 | |||
FirstMerit Bank | Core deposit intangible | ||||
Assets acquired: | ||||
Intangible assets | 309,750 | |||
FirstMerit Bank | Other | ||||
Assets acquired: | ||||
Intangible assets | 94,571 | |||
FirstMerit Bank | Commercial | ||||
Business Combination, Acquired Receivables [Abstract] | ||||
Business Combination, Acquired Receivables, Gross Contractual Amount | 9,309,378 | |||
Assets acquired: | ||||
Business Combination, Acquired Receivables, Fair Value | 9,096,842 | |||
FirstMerit Bank | Commercial | Commercial and Industrial | ||||
Business Combination, Acquired Receivables [Abstract] | ||||
Business Combination, Acquired Receivables, Gross Contractual Amount | 7,410,503 | |||
Assets acquired: | ||||
Business Combination, Acquired Receivables, Fair Value | 7,252,692 | |||
FirstMerit Bank | Commercial | Commercial Real Estate | ||||
Business Combination, Acquired Receivables [Abstract] | ||||
Business Combination, Acquired Receivables, Gross Contractual Amount | 1,898,875 | |||
Assets acquired: | ||||
Business Combination, Acquired Receivables, Fair Value | 1,844,150 | |||
FirstMerit Bank | Consumer | ||||
Business Combination, Acquired Receivables [Abstract] | ||||
Business Combination, Acquired Receivables, Gross Contractual Amount | 6,436,089 | |||
Assets acquired: | ||||
Business Combination, Acquired Receivables, Fair Value | 6,379,073 | |||
FirstMerit Bank | Consumer | Automobile | ||||
Business Combination, Acquired Receivables [Abstract] | ||||
Business Combination, Acquired Receivables, Gross Contractual Amount | 1,610,007 | |||
Assets acquired: | ||||
Business Combination, Acquired Receivables, Fair Value | 1,609,145 | |||
FirstMerit Bank | Consumer | Home Equity | ||||
Business Combination, Acquired Receivables [Abstract] | ||||
Business Combination, Acquired Receivables, Gross Contractual Amount | 1,579,832 | |||
Assets acquired: | ||||
Business Combination, Acquired Receivables, Fair Value | 1,537,791 | |||
FirstMerit Bank | Consumer | Residential Mortgage | ||||
Business Combination, Acquired Receivables [Abstract] | ||||
Business Combination, Acquired Receivables, Gross Contractual Amount | 1,098,588 | |||
Assets acquired: | ||||
Business Combination, Acquired Receivables, Fair Value | 1,092,050 | |||
FirstMerit Bank | Consumer | RV and marine finance | ||||
Business Combination, Acquired Receivables [Abstract] | ||||
Business Combination, Acquired Receivables, Gross Contractual Amount | 1,823,312 | |||
Assets acquired: | ||||
Business Combination, Acquired Receivables, Fair Value | 1,816,575 | |||
FirstMerit Bank | Consumer | Other Consumer | ||||
Business Combination, Acquired Receivables [Abstract] | ||||
Business Combination, Acquired Receivables, Gross Contractual Amount | 324,350 | |||
Assets acquired: | ||||
Business Combination, Acquired Receivables, Fair Value | $ 323,512 |
LOANS AND LEASES AND ALLOWANC62
LOANS AND LEASES AND ALLOWANCE FOR CREDIT LOSSES - Narrative (Details) | 12 Months Ended | ||||
Dec. 31, 2016USD ($)securitization | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Aug. 16, 2016USD ($) | Dec. 31, 2013USD ($) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Loans net premium | $ 120,000,000 | $ 262,000,000 | |||
Capital Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |||||
Future lease rental payments due | 1,900,000,000 | ||||
Future lease rental payments due, in 2016 | 600,000,000 | ||||
Future lease rental payments due, in 2017 | 500,000,000 | ||||
Future lease rental payments due, in 2018 | 300,000,000 | ||||
Future lease rental payments due, in 2019 | 200,000,000 | ||||
Future lease rental payments due, in 2020 | 100,000,000 | ||||
Future lease rental payments due, after 2020 | 200,000,000 | ||||
Allowance for loan and lease losses | 638,413,000 | 597,843,000 | $ 605,196,000 | $ 647,870,000 | |
Interest income under original terms for NAL loans | 24,000,000 | 20,000,000 | 21,000,000 | ||
Interest income recorded for NAL loans | 17,000,000 | 10,000,000 | 8,000,000 | ||
Interest income under original terms for TDR loans | 49,000,000 | 46,000,000 | 45,000,000 | ||
Interest income recorded for TDR loans | $ 40,000,000 | 41,000,000 | 39,000,000 | ||
Threshold period of consecutive payments to remove from nonaccrual status | 6 months | ||||
Amount of security for borrowing and advances | $ 19,700,000,000 | ||||
Loans held for investment | 82,319,000 | 34,637,000 | $ 56,000,000 | ||
Macquarie Equipment Finance | |||||
Capital Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |||||
Amount of security for borrowing and advances | $ 70,000,000 | ||||
Number of securitizations | securitization | 2 | ||||
Commercial | |||||
Capital Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |||||
Allowance for loan and lease losses | $ 451,091,000 | 398,753,000 | 389,834,000 | 428,358,000 | |
Threshold outstanding balance for quarterly impairment evaluation | $ 1,000,000 | ||||
Redefault status number of days | 90 days | ||||
Threshold period past due for nonperforming status | 90 days | ||||
Consumer | |||||
Capital Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |||||
Allowance for loan and lease losses | $ 187,322,000 | $ 199,090,000 | $ 215,362,000 | $ 219,512,000 | |
Threshold period past due for nonperforming status | 120 days | ||||
Residential Mortgage | Consumer | |||||
Capital Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |||||
Threshold period past due for nonperforming status | 150 days |
LOANS AND LEASES AND ALLOWANC63
LOANS AND LEASES AND ALLOWANCE FOR CREDIT LOSSES - Direct Financing Leases (Details) - Commercial - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Lease payments receivable | $ 1,881,596 | $ 1,551,885 |
Estimated residual value of leased assets | 797,611 | 711,181 |
Gross investment in commercial lease financing receivables | 2,679,207 | 2,263,066 |
Net deferred origination costs | 12,683 | 7,068 |
Deferred fees | (253,423) | (208,669) |
Total net investment in commercial lease financing receivables | $ 2,438,467 | $ 2,061,465 |
LOANS AND LEASES AND ALLOWANC64
LOANS AND LEASES AND ALLOWANCE FOR CREDIT LOSSES - Certain Loans Acquired Balances at Acquisition (Details) - FirstMerit Bank - USD ($) $ in Thousands | Dec. 31, 2016 | Aug. 16, 2016 | Dec. 31, 2015 |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | |||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Acquired During Period, Commercial, Contractually Required Payments Receivable at Acquisition | $ 283,947 | ||
Certain Loans Acquired in Transfer, Nonaccretable Difference | 84,315 | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Acquired During Period, Commercial, Cash Flows Expected to be Collected at Acquisition | 199,632 | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield | $ 36,669 | 17,717 | $ 0 |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Acquired During Period, at Acquisition, at Fair Value | $ 181,915 |
LOANS AND LEASES AND ALLOWANC65
LOANS AND LEASES AND ALLOWANCE FOR CREDIT LOSSES - Certain Loans Acquired Accretable Yield Roll Forward (Details) - FirstMerit Bank $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement Schedule [Roll Forward] | |
Balance, beginning of period | $ 0 |
Impact of acquisition on March 1, 2014 | (17,717) |
Accretion | (5,401) |
Reclassification from nonaccretable difference | 24,353 |
Balance, end of period | $ 36,669 |
LOANS AND LEASES AND ALLOWANC66
LOANS AND LEASES AND ALLOWANCE FOR CREDIT LOSSES - Certain Loans Acquired Ending and Unpaid Balances (Details) $ in Thousands | Dec. 31, 2016USD ($) |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Acquired loans, carrying amount | $ 102,380 |
FirstMerit Bank | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Acquired loans, carrying amount | 102,380 |
Acquired loans, unpaid balance | 156,351 |
Commercial and Industrial | Commercial | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Acquired loans, carrying amount | 68,338 |
Commercial and Industrial | Commercial | FirstMerit Bank | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Acquired loans, carrying amount | 68,338 |
Acquired loans, unpaid balance | 100,031 |
Commercial Real Estate | Commercial | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Acquired loans, carrying amount | 34,042 |
Commercial Real Estate | Commercial | FirstMerit Bank | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Acquired loans, carrying amount | 34,042 |
Acquired loans, unpaid balance | 56,320 |
Automobile | Consumer | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Acquired loans, carrying amount | 0 |
Home Equity | Consumer | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Acquired loans, carrying amount | 0 |
Residential Mortgage | Consumer | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Acquired loans, carrying amount | 0 |
RV and marine finance | Consumer | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Acquired loans, carrying amount | 0 |
Other Consumer | Consumer | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Acquired loans, carrying amount | $ 0 |
LOANS AND LEASES AND ALLOWANC67
LOANS AND LEASES AND ALLOWANCE FOR CREDIT LOSSES - Loan Purchases and Sales (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Portfolio loans purchased | $ 410,624 | $ 336,715 | ||
Portfolio loans sold or transferred | 2,915,318 | 1,242,039 | ||
Commercial and Industrial | Commercial | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Portfolio loans purchased | 394,579 | 316,252 | ||
Portfolio loans sold or transferred | 1,293,711 | 380,713 | ||
Commercial Real Estate | Commercial | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Portfolio loans purchased | 0 | 0 | ||
Portfolio loans sold or transferred | 76,965 | 0 | ||
Automobile | Consumer | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Portfolio loans purchased | 0 | 0 | ||
Portfolio loans sold or transferred | 1,544,642 | 764,540 | ||
Portfolio loans transferred to held-for-sale | $ 1,000,000 | |||
Financing Receivable, Reclassification to Loans and Leases | $ 262,000 | |||
Home Equity | Consumer | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Portfolio loans purchased | 0 | 0 | ||
Portfolio loans sold or transferred | 0 | 96,786 | ||
Residential Mortgage | Consumer | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Portfolio loans purchased | 16,045 | 20,463 | ||
Portfolio loans sold or transferred | 0 | 0 | ||
RV and marine finance | Consumer | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Portfolio loans purchased | 0 | 0 | ||
Portfolio loans sold or transferred | 0 | 0 | ||
Other Consumer | Consumer | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Portfolio loans purchased | 0 | 0 | ||
Portfolio loans sold or transferred | $ 0 | $ 0 |
LOANS AND LEASES AND ALLOWANC68
LOANS AND LEASES AND ALLOWANCE FOR CREDIT LOSSES - Nonaccrual Loans by Loan Class (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total nonaccrual loans | $ 423,003 | $ 371,581 |
Commercial | Commercial and Industrial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total nonaccrual loans | 234,184 | 175,195 |
Commercial | Commercial Real Estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total nonaccrual loans | 20,508 | 28,984 |
Consumer | Automobile | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total nonaccrual loans | 5,766 | 6,564 |
Consumer | Home Equity | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total nonaccrual loans | 71,798 | 66,278 |
Consumer | Residential Mortgage | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total nonaccrual loans | 90,502 | 94,560 |
Consumer | RV and marine finance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total nonaccrual loans | 245 | 0 |
Consumer | Other Consumer | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total nonaccrual loans | $ 0 | $ 0 |
LOANS AND LEASES AND ALLOWANC69
LOANS AND LEASES AND ALLOWANCE FOR CREDIT LOSSES - NALs Past Due (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | $ 718,203 | $ 609,579 |
Loans and leases, current | 66,059,094 | 49,731,520 |
Loans and leases | 66,961,996 | 50,341,099 |
90 or more days past due and accruing | 129,362 | 105,790 |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Carrying Amount, Net | 102,380 | |
Consumer loans | 82,319 | |
30-59 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 320,341 | 269,219 |
60-89 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 108,443 | 87,321 |
90 or more days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 289,419 | 253,039 |
Commercial | Commercial and Industrial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 136,362 | 105,273 |
Loans and leases, current | 27,854,012 | 20,454,561 |
Loans and leases | 28,058,712 | 20,559,834 |
90 or more days past due and accruing | 18,148 | 8,724 |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Carrying Amount, Net | 68,338 | |
Consumer loans | 0 | |
Commercial | Commercial and Industrial | 30-59 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 42,052 | 44,715 |
Commercial | Commercial and Industrial | 60-89 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 20,136 | 13,580 |
Commercial | Commercial and Industrial | 90 or more days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 74,174 | 46,978 |
Commercial | Commercial Real Estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 54,048 | 36,619 |
Loans and leases, current | 7,212,811 | 5,232,032 |
Loans and leases | 7,300,901 | 5,268,651 |
90 or more days past due and accruing | 17,215 | 9,549 |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Carrying Amount, Net | 34,042 | |
Consumer loans | 0 | |
Commercial | Commercial Real Estate | 30-59 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 21,187 | 9,232 |
Commercial | Commercial Real Estate | 60-89 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 3,202 | 5,721 |
Commercial | Commercial Real Estate | 90 or more days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 29,659 | 21,666 |
Consumer | Automobile | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 103,913 | 91,864 |
Loans and leases, current | 10,862,715 | 9,388,814 |
Loans and leases | 10,968,782 | 9,480,678 |
90 or more days past due and accruing | 10,182 | 7,162 |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Carrying Amount, Net | 0 | |
Consumer loans | 2,154 | |
Consumer | Automobile | 30-59 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 76,283 | 69,553 |
Consumer | Automobile | 60-89 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 17,188 | 14,965 |
Consumer | Automobile | 90 or more days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 10,442 | 7,346 |
Consumer | Home Equity | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 115,804 | 109,682 |
Loans and leases, current | 9,986,697 | 8,360,800 |
Loans and leases | 10,105,774 | 8,470,482 |
90 or more days past due and accruing | 11,508 | 9,044 |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Carrying Amount, Net | 0 | |
Consumer loans | 3,273 | |
Consumer | Home Equity | 30-59 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 38,899 | 36,477 |
Consumer | Home Equity | 60-89 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 23,903 | 16,905 |
Consumer | Home Equity | 90 or more days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 53,002 | 56,300 |
Consumer | Residential Mortgage | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 276,611 | 256,425 |
Loans and leases, current | 7,373,414 | 5,741,975 |
Loans and leases | 7,724,961 | 5,998,400 |
90 or more days past due and accruing | 66,952 | 69,917 |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Carrying Amount, Net | 0 | |
Consumer loans | 74,936 | |
Consumer | Residential Mortgage | 30-59 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 122,469 | 102,773 |
Consumer | Residential Mortgage | 60-89 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 37,460 | 34,298 |
Consumer | Residential Mortgage | 90 or more days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 116,682 | 119,354 |
Consumer | RV and marine finance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 13,805 | 0 |
Loans and leases, current | 1,831,123 | 0 |
Loans and leases | 1,846,447 | 0 |
90 or more days past due and accruing | 1,462 | |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Carrying Amount, Net | 0 | |
Consumer loans | 1,519 | |
Consumer | RV and marine finance | 30-59 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 10,009 | 0 |
Consumer | RV and marine finance | 60-89 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 2,230 | 0 |
Consumer | RV and marine finance | 90 or more days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 1,566 | 0 |
Consumer | Other Consumer | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 17,660 | 9,716 |
Loans and leases, current | 938,322 | 553,338 |
Loans and leases | 956,419 | 563,054 |
90 or more days past due and accruing | 3,895 | 1,394 |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Carrying Amount, Net | 0 | |
Consumer loans | 437 | |
Consumer | Other Consumer | 30-59 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 9,442 | 6,469 |
Consumer | Other Consumer | 60-89 Days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | 4,324 | 1,852 |
Consumer | Other Consumer | 90 or more days | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases, past due | $ 3,894 | $ 1,395 |
LOANS AND LEASES AND ALLOWANC70
LOANS AND LEASES AND ALLOWANCE FOR CREDIT LOSSES - Allowance for Credit Losses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
ALLL balance beginning of period | $ 597,843 | $ 605,196 | $ 647,870 |
Loan charge-offs | (227,314) | (217,881) | (246,601) |
Recoveries of loans previously charged-off | 118,418 | 130,088 | 121,974 |
Provision (reduction in allowance) for loan and lease losses | (169,407) | (88,679) | (83,082) |
Allowance for loans sold or transferred to loans held for sale | 19,941 | (8,239) | (1,129) |
ALLL balance end of period | 638,413 | 597,843 | 605,196 |
AULC balance beginning of period | 72,081 | 60,806 | 62,899 |
Provision (reduction in allowance) for unfunded loan commitments and letters of credit | (21,395) | 11,275 | 2,093 |
AULC balance end of period | 97,879 | 72,081 | 60,806 |
ACL balance end of period | 736,292 | 669,924 | 666,002 |
Additions to Unfunded Loan Commitments and Letters of Credit Allowance | 4,403 | 0 | 0 |
Commercial | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
ALLL balance beginning of period | 398,753 | 389,834 | 428,358 |
Loan charge-offs | (91,914) | (97,800) | (101,358) |
Recoveries of loans previously charged-off | 73,138 | 86,419 | 78,602 |
Provision (reduction in allowance) for loan and lease losses | (84,381) | (20,300) | 15,768 |
Allowance for loans sold or transferred to loans held for sale | (13,267) | 0 | 0 |
ALLL balance end of period | 451,091 | 398,753 | 389,834 |
AULC balance beginning of period | 63,448 | 55,029 | 59,487 |
Provision (reduction in allowance) for unfunded loan commitments and letters of credit | (18,692) | (8,419) | 4,458 |
AULC balance end of period | 86,543 | 63,448 | 55,029 |
ACL balance end of period | 537,634 | 462,201 | 444,863 |
Additions to Unfunded Loan Commitments and Letters of Credit Allowance | 4,403 | 0 | 0 |
Consumer | |||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | |||
ALLL balance beginning of period | 199,090 | 215,362 | 219,512 |
Loan charge-offs | (135,400) | (120,081) | (145,243) |
Recoveries of loans previously charged-off | 45,280 | 43,669 | 43,372 |
Provision (reduction in allowance) for loan and lease losses | (85,026) | (68,379) | (98,850) |
Allowance for loans sold or transferred to loans held for sale | 6,674 | 8,239 | 1,129 |
ALLL balance end of period | 187,322 | 199,090 | 215,362 |
AULC balance beginning of period | 8,633 | 5,777 | 3,412 |
Provision (reduction in allowance) for unfunded loan commitments and letters of credit | (2,703) | (2,856) | (2,365) |
AULC balance end of period | 11,336 | 8,633 | 5,777 |
ACL balance end of period | 198,658 | 207,723 | 221,139 |
Additions to Unfunded Loan Commitments and Letters of Credit Allowance | $ 0 | $ 0 | $ 0 |
LOANS AND LEASES AND ALLOWANC71
LOANS AND LEASES AND ALLOWANCE FOR CREDIT LOSSES - Credit Quality Indicators (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Commercial and industrial loans and leases | $ 28,058,712 | $ 20,559,834 | |
Commercial real estate loans | 7,300,901 | 5,268,651 | |
Automobile loans | 10,968,782 | 9,480,678 | |
Home equity loans | 10,105,774 | 8,470,482 | |
Residential mortgage loans | 7,724,961 | 5,998,400 | |
Other consumer loans | [1] | 956,419 | 563,054 |
Commercial | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Commercial and industrial loans and leases | 28,058,712 | 20,559,834 | |
Commercial real estate loans | 7,300,901 | 5,268,651 | |
Commercial | Pass | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Commercial and industrial loans and leases | 26,211,885 | 19,257,789 | |
Commercial real estate loans | 7,042,304 | 5,066,054 | |
Commercial | OLEM | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Commercial and industrial loans and leases | 810,287 | 399,339 | |
Commercial real estate loans | 96,975 | 79,787 | |
Commercial | Substandard | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Commercial and industrial loans and leases | 1,028,819 | 895,577 | |
Commercial real estate loans | 159,098 | 121,167 | |
Commercial | Doubtful | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Commercial and industrial loans and leases | 7,721 | 7,129 | |
Commercial real estate loans | 2,524 | 1,643 | |
Consumer | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Automobile loans | 10,966,628 | 9,480,678 | |
Home equity loans | 10,102,501 | 8,470,482 | |
Residential mortgage loans | 7,650,025 | 5,998,400 | |
Loans and Leases Receivable, Gross, Consumer, Recreation Finance | 1,844,928 | 0 | |
Other consumer loans | 955,982 | 563,054 | |
Consumer | FICO Score, Greater than 750 | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Automobile loans | 5,369,085 | 4,680,684 | |
Home equity loans | 6,280,328 | 5,210,741 | |
Residential mortgage loans | 4,662,777 | 3,564,064 | |
Loans and Leases Receivable, Gross, Consumer, Recreation Finance | 1,064,143 | 0 | |
Other consumer loans | 346,867 | 233,969 | |
Consumer | 650-749 | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Automobile loans | 4,043,611 | 3,454,585 | |
Home equity loans | 2,891,330 | 2,466,425 | |
Residential mortgage loans | 2,285,121 | 1,813,779 | |
Loans and Leases Receivable, Gross, Consumer, Recreation Finance | 644,039 | 0 | |
Other consumer loans | 455,959 | 269,746 | |
Consumer | 650 | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Automobile loans | 1,298,460 | 1,086,914 | |
Home equity loans | 637,560 | 582,326 | |
Residential mortgage loans | 615,067 | 567,984 | |
Loans and Leases Receivable, Gross, Consumer, Recreation Finance | 72,995 | 0 | |
Other consumer loans | 133,243 | 49,650 | |
Consumer | Other | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Automobile loans | 255,472 | 258,495 | |
Home equity loans | 293,283 | 210,990 | |
Residential mortgage loans | 87,060 | 52,573 | |
Loans and Leases Receivable, Gross, Consumer, Recreation Finance | 63,751 | 0 | |
Other consumer loans | $ 19,913 | $ 9,689 | |
[1] | Amounts represent loans for which Huntington has elected the fair value option. |
LOANS AND LEASES AND ALLOWANC72
LOANS AND LEASES AND ALLOWANCE FOR CREDIT LOSSES - ALLL Attributable to Loans by Portfolio Segment (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Attributable to loans collectively evaluated for impairment | $ 616,867 | $ 532,678 | ||
Attributable to loans individually evaluated for impairment | 21,546 | 62,436 | ||
Total ALLL balance: | 638,413 | 597,843 | $ 605,196 | $ 647,870 |
Collectively evaluated for impairment | 65,903,783 | 49,027,030 | ||
Financing Receivable Evaluated For Impairment | 66,879,677 | 50,341,099 | ||
Individually evaluated for impairment | 873,514 | 1,277,788 | ||
Purchase credit-impaired | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Attributable to loans collectively evaluated for impairment | 2,729 | |||
Collectively evaluated for impairment | 102,380 | 36,281 | ||
Commercial | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Attributable to loans collectively evaluated for impairment | 440,566 | 368,723 | ||
Attributable to loans individually evaluated for impairment | 10,525 | 27,428 | ||
Total ALLL balance: | 451,091 | 398,753 | 389,834 | 428,358 |
Collectively evaluated for impairment | 34,841,609 | 25,167,700 | ||
Financing Receivable Evaluated For Impairment | 35,359,613 | 25,828,485 | ||
Individually evaluated for impairment | 415,624 | 626,010 | ||
Commercial | Purchase credit-impaired | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Attributable to loans collectively evaluated for impairment | 2,602 | |||
Collectively evaluated for impairment | 102,380 | 34,775 | ||
Consumer | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Attributable to loans collectively evaluated for impairment | 176,301 | 163,955 | ||
Attributable to loans individually evaluated for impairment | 11,021 | 35,008 | ||
Total ALLL balance: | 187,322 | 199,090 | $ 215,362 | $ 219,512 |
Collectively evaluated for impairment | 31,062,174 | 23,859,330 | ||
Financing Receivable Evaluated For Impairment | 31,520,064 | 24,512,614 | ||
Individually evaluated for impairment | 457,890 | 651,778 | ||
Consumer | Purchase credit-impaired | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Attributable to loans collectively evaluated for impairment | 127 | |||
Collectively evaluated for impairment | $ 0 | $ 1,506 |
LOANS AND LEASES AND ALLOWANC73
LOANS AND LEASES AND ALLOWANCE FOR CREDIT LOSSES - Impaired Loans (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Automobile | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Impaired loans and leases with no related allowance, unpaid principle | $ 0 | $ 0 |
Impaired loans and leases with no related allowance, average balance | 0 | 0 |
Impaired loans and leases with no related allowance, interest income recognized | 0 | 0 |
Home Equity | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Impaired loans and leases with no related allowance, unpaid principle | 0 | 0 |
Impaired loans and leases with no related allowance, average balance | 0 | 0 |
Impaired loans and leases with no related allowance, interest income recognized | 0 | 0 |
Residential Mortgage | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Impaired loans and leases with no related allowance, unpaid principle | 0 | 0 |
Impaired loans and leases with no related allowance, average balance | 0 | 0 |
Impaired loans and leases with no related allowance, interest income recognized | 0 | 0 |
RV and marine finance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Impaired loans and leases with no related allowance, unpaid principle | 0 | 0 |
Impaired loans and leases with no related allowance, average balance | 0 | 0 |
Impaired loans and leases with no related allowance, interest income recognized | 0 | 0 |
Commercial | Commercial and Industrial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Impaired loans and leases with no related allowance, ending balance | 299,606 | 255,801 |
Impaired loans and leases with no related allowance, unpaid principle | 358,712 | 279,551 |
Impaired loans and leases with no related allowance, average balance | 292,567 | 114,389 |
Impaired loans and leases with no related allowance, interest income recognized | 9,401 | 2,584 |
Impaired loans and leases with an allowance recorded, ending balance | 406,243 | 246,249 |
Impaired loans and leases with an allowance recorded, unpaid principle | 448,121 | 274,203 |
Impaired loans and leases with an allowance recorded, related allowance | 22,259 | 21,916 |
Impaired Financing Receivable, Average Recorded Investment | 594,165 | 382,051 |
Impaired loans and leases with an allowance recorded, average balance | 301,598 | 267,662 |
Impaired loans and leases with an allowance recorded, interest income recognized | 8,124 | 15,110 |
Considered impaired due to TDR status | 293,000 | 91,000 |
Impaired Financing Receivable, Recorded Investment | 705,849 | 502,050 |
Impaired Financing Receivable, Unpaid Principal Balance | 806,833 | 553,754 |
Impaired Financing Receivable, Interest Income, Accrual Method | 17,525 | 17,694 |
Commercial | Commercial Real Estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Impaired loans and leases with no related allowance, ending balance | 88,817 | 68,260 |
Impaired loans and leases with no related allowance, unpaid principle | 126,152 | 125,814 |
Impaired loans and leases with no related allowance, average balance | 73,040 | 88,173 |
Impaired loans and leases with no related allowance, interest income recognized | 4,191 | 7,199 |
Impaired loans and leases with an allowance recorded, ending balance | 97,238 | 90,475 |
Impaired loans and leases with an allowance recorded, unpaid principle | 107,512 | 104,930 |
Impaired loans and leases with an allowance recorded, related allowance | 3,434 | 8,114 |
Impaired Financing Receivable, Average Recorded Investment | 141,905 | 202,192 |
Impaired loans and leases with an allowance recorded, average balance | 68,865 | 114,019 |
Impaired loans and leases with an allowance recorded, interest income recognized | 2,978 | 4,833 |
Considered impaired due to TDR status | 81,000 | 35,000 |
Impaired Financing Receivable, Recorded Investment | 186,055 | 158,735 |
Impaired Financing Receivable, Unpaid Principal Balance | 233,664 | 230,744 |
Impaired Financing Receivable, Interest Income, Accrual Method | 7,169 | 12,032 |
Consumer | Automobile | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Impaired loans and leases with no related allowance, ending balance | 0 | 0 |
Impaired loans and leases with an allowance recorded, ending balance | 30,961 | 31,304 |
Impaired loans and leases with an allowance recorded, unpaid principle | 31,298 | 31,878 |
Impaired loans and leases with an allowance recorded, related allowance | 1,850 | 1,779 |
Impaired Financing Receivable, Average Recorded Investment | 31,722 | 30,163 |
Impaired loans and leases with an allowance recorded, average balance | 31,722 | 30,163 |
Impaired loans and leases with an allowance recorded, interest income recognized | 2,162 | 2,224 |
Impaired Financing Receivable, Recorded Investment | 30,961 | 31,304 |
Impaired Financing Receivable, Unpaid Principal Balance | 31,298 | 31,878 |
Impaired Financing Receivable, Interest Income, Accrual Method | 2,162 | 2,224 |
Consumer | Home Equity | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Impaired loans and leases with no related allowance, ending balance | 0 | 0 |
Impaired loans and leases with an allowance recorded, ending balance | 319,404 | 248,839 |
Impaired loans and leases with an allowance recorded, unpaid principle | 352,722 | 284,957 |
Impaired loans and leases with an allowance recorded, related allowance | 15,032 | 16,242 |
Impaired Financing Receivable, Average Recorded Investment | 277,692 | 292,014 |
Impaired loans and leases with an allowance recorded, average balance | 277,692 | 292,014 |
Impaired loans and leases with an allowance recorded, interest income recognized | 13,410 | 13,092 |
Impaired Financing Receivable, Recorded Investment | 319,404 | 248,839 |
Impaired Financing Receivable, Unpaid Principal Balance | 352,722 | 284,957 |
Impaired Financing Receivable, Interest Income, Accrual Method | 13,410 | 13,092 |
Consumer | Residential Mortgage | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Impaired loans and leases with no related allowance, ending balance | 0 | 0 |
Impaired loans and leases with an allowance recorded, ending balance | 327,753 | 368,449 |
Impaired loans and leases with an allowance recorded, unpaid principle | 363,099 | 411,114 |
Impaired loans and leases with an allowance recorded, related allowance | 12,849 | 16,938 |
Impaired Financing Receivable, Average Recorded Investment | 348,158 | 373,573 |
Impaired loans and leases with an allowance recorded, average balance | 348,158 | 373,573 |
Impaired loans and leases with an allowance recorded, interest income recognized | 11,945 | 12,889 |
TDR government guarantee | 29,000 | 29,000 |
Impaired Financing Receivable, Recorded Investment | 327,753 | 368,449 |
Impaired Financing Receivable, Unpaid Principal Balance | 363,099 | 411,114 |
Impaired Financing Receivable, Interest Income, Accrual Method | 11,945 | 12,889 |
Consumer | RV and marine finance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Impaired loans and leases with no related allowance, ending balance | 0 | 0 |
Impaired loans and leases with an allowance recorded, ending balance | 0 | 0 |
Impaired loans and leases with an allowance recorded, unpaid principle | 0 | 0 |
Impaired loans and leases with an allowance recorded, related allowance | 0 | 0 |
Impaired Financing Receivable, Average Recorded Investment | 0 | 0 |
Impaired loans and leases with an allowance recorded, average balance | 0 | 0 |
Impaired loans and leases with an allowance recorded, interest income recognized | 0 | 0 |
Impaired Financing Receivable, Recorded Investment | 0 | 0 |
Impaired Financing Receivable, Unpaid Principal Balance | 0 | 0 |
Impaired Financing Receivable, Interest Income, Accrual Method | 0 | 0 |
Consumer | Other Consumer | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Impaired loans and leases with no related allowance, ending balance | 0 | 52 |
Impaired loans and leases with no related allowance, unpaid principle | 0 | 101 |
Impaired loans and leases with no related allowance, average balance | 0 | 51 |
Impaired loans and leases with no related allowance, interest income recognized | 0 | 17 |
Impaired loans and leases with an allowance recorded, ending balance | 3,897 | 4,640 |
Impaired loans and leases with an allowance recorded, unpaid principle | 3,897 | 4,649 |
Impaired loans and leases with an allowance recorded, related allowance | 260 | 176 |
Impaired Financing Receivable, Average Recorded Investment | 4,481 | 4,726 |
Impaired loans and leases with an allowance recorded, average balance | 4,481 | 4,675 |
Impaired loans and leases with an allowance recorded, interest income recognized | 233 | 254 |
Impaired Financing Receivable, Recorded Investment | 3,897 | 4,692 |
Impaired Financing Receivable, Unpaid Principal Balance | 3,897 | 4,750 |
Impaired Financing Receivable, Interest Income, Accrual Method | $ 233 | $ 271 |
LOANS AND LEASES AND ALLOWANC74
LOANS AND LEASES AND ALLOWANCE FOR CREDIT LOSSES - TDRs (Details) | 12 Months Ended | |
Dec. 31, 2016USD ($)contract | Dec. 31, 2015USD ($)contract | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 5,053 | 6,191 |
Post-modification Outstanding Balance (2) | $ 677,714,000 | $ 894,700,000 |
Financial effects of modification | $ (11,638,000) | $ 14,533,000 |
Commercial | Interest rate reduction | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | 4 | 13 |
Post-modification Outstanding Balance (2) | $ 161,000 | $ 8,243,000 |
Financial effects of modification | 5,000 | $ (1,042,000) |
Commercial | Amortization or maturity date change | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 765 | |
Post-modification Outstanding Balance (2) | 490,488,000 | $ 524,356,000 |
Financial effects of modification | $ (8,751,000) | $ 5,853,000 |
Commercial | Other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 20 | 16 |
Post-modification Outstanding Balance (2) | $ 1,951,000 | $ 29,842,000 |
Financial effects of modification | $ (14,000) | $ 449,000 |
Commercial | Commercial and Industrial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 896 | 794 |
Post-modification Outstanding Balance (2) | $ 492,600,000 | $ 562,441,000 |
Financial effects of modification | $ (8,760,000) | $ 7,344,000 |
Commercial | Commercial and Industrial | Amortization or maturity date change | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 872 | |
Commercial | Commercial Real Estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 117 | 158 |
Post-modification Outstanding Balance (2) | $ 69,730,000 | $ 143,967,000 |
Financial effects of modification | $ (1,852,000) | $ 1,283,000 |
Commercial | Commercial Real Estate | Interest rate reduction | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 2 | 4 |
Post-modification Outstanding Balance (2) | $ 223,000 | $ 2,249,000 |
Financial effects of modification | $ 0 | $ 4,000 |
Commercial | Commercial Real Estate | Amortization or maturity date change | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 111 | 143 |
Post-modification Outstanding Balance (2) | $ 69,192,000 | $ 141,238,000 |
Financial effects of modification | $ (1,868,000) | $ 1,249,000 |
Commercial | Commercial Real Estate | Other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 4 | 11 |
Post-modification Outstanding Balance (2) | $ 315,000 | $ 480,000 |
Financial effects of modification | $ 16,000 | $ (30,000) |
Consumer | Automobile | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 2,669 | 2,558 |
Post-modification Outstanding Balance (2) | $ 23,172,000 | $ 19,779,000 |
Financial effects of modification | $ (1,477,000) | $ (961,000) |
Consumer | Automobile | Interest rate reduction | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 17 | 41 |
Post-modification Outstanding Balance (2) | $ 212,000 | $ 121,000 |
Financial effects of modification | $ (12,000) | $ (5,000) |
Consumer | Automobile | Amortization or maturity date change | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 1,593 | 1,591 |
Post-modification Outstanding Balance (2) | $ 14,542,000 | $ 12,268,000 |
Financial effects of modification | $ (1,065,000) | $ (533,000) |
Consumer | Automobile | Chapter 7 bankruptcy | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 1,059 | 926 |
Post-modification Outstanding Balance (2) | $ 8,418,000 | $ 7,390,000 |
Financial effects of modification | $ (400,000) | $ (423,000) |
Consumer | Automobile | Other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 0 | 0 |
Post-modification Outstanding Balance (2) | $ 0 | $ 0 |
Financial effects of modification | $ 0 | $ 0 |
Consumer | Home Equity | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 915 | 1,976 |
Post-modification Outstanding Balance (2) | $ 44,969,000 | $ 93,277,000 |
Financial effects of modification | $ (780,000) | $ (6,207,000) |
Consumer | Home Equity | Interest rate reduction | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 55 | 55 |
Post-modification Outstanding Balance (2) | $ 2,928,000 | $ 4,399,000 |
Financial effects of modification | $ (110,000) | $ (161,000) |
Consumer | Home Equity | Amortization or maturity date change | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 578 | 1,591 |
Post-modification Outstanding Balance (2) | $ 32,006,000 | $ 79,023,000 |
Financial effects of modification | $ (3,709,000) | $ (10,639,000) |
Consumer | Home Equity | Chapter 7 bankruptcy | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 282 | 330 |
Post-modification Outstanding Balance (2) | $ 10,035,000 | $ 9,855,000 |
Financial effects of modification | $ (2,819,000) | $ (4,271,000) |
Consumer | Home Equity | Other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 0 | 0 |
Post-modification Outstanding Balance (2) | $ 0 | $ 0 |
Financial effects of modification | $ 0 | $ 0 |
Consumer | Residential Mortgage | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 442 | 683 |
Post-modification Outstanding Balance (2) | $ 46,596,000 | $ 74,873,000 |
Financial effects of modification | $ (1,754,000) | $ (680,000) |
Consumer | Residential Mortgage | Interest rate reduction | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 13 | 15 |
Post-modification Outstanding Balance (2) | $ 1,287,000 | $ 1,565,000 |
Financial effects of modification | $ (18,000) | $ (61,000) |
Consumer | Residential Mortgage | Amortization or maturity date change | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 363 | 518 |
Post-modification Outstanding Balance (2) | $ 39,170,000 | $ 57,859,000 |
Financial effects of modification | $ (1,650,000) | $ (455,000) |
Consumer | Residential Mortgage | Chapter 7 bankruptcy | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 62 | 139 |
Post-modification Outstanding Balance (2) | $ 5,715,000 | $ 14,183,000 |
Financial effects of modification | $ 86,000 | $ 164,000 |
Consumer | Residential Mortgage | Other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 4 | 11 |
Post-modification Outstanding Balance (2) | $ 424,000 | $ 1,266,000 |
Financial effects of modification | $ 0 | $ 0 |
Consumer | RV and marine finance | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 0 | 0 |
Post-modification Outstanding Balance (2) | $ 0 | $ 0 |
Financial effects of modification | $ 0 | $ 0 |
Consumer | RV and marine finance | Interest rate reduction | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 0 | 0 |
Post-modification Outstanding Balance (2) | $ 0 | $ 0 |
Financial effects of modification | $ 0 | $ 0 |
Consumer | RV and marine finance | Amortization or maturity date change | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 0 | 0 |
Post-modification Outstanding Balance (2) | $ 0 | $ 0 |
Financial effects of modification | $ 0 | $ 0 |
Consumer | RV and marine finance | Chapter 7 bankruptcy | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 0 | 0 |
Post-modification Outstanding Balance (2) | $ 0 | $ 0 |
Financial effects of modification | $ 0 | $ 0 |
Consumer | RV and marine finance | Other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 0 | 0 |
Post-modification Outstanding Balance (2) | $ 0 | $ 0 |
Financial effects of modification | $ 0 | $ 0 |
Consumer | Other Consumer | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 14 | 22 |
Post-modification Outstanding Balance (2) | $ 647,000 | $ 363,000 |
Financial effects of modification | $ (31,000) | $ (20,000) |
Consumer | Other Consumer | Interest rate reduction | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 0 | 1 |
Post-modification Outstanding Balance (2) | $ 0 | $ 96,000 |
Financial effects of modification | $ 0 | $ (3,000) |
Consumer | Other Consumer | Amortization or maturity date change | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 6 | 10 |
Post-modification Outstanding Balance (2) | $ 575,000 | $ 198,000 |
Financial effects of modification | $ (24,000) | $ (8,000) |
Consumer | Other Consumer | Chapter 7 bankruptcy | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 8 | 11 |
Post-modification Outstanding Balance (2) | $ 72,000 | $ 69,000 |
Financial effects of modification | $ (7,000) | $ (9,000) |
Consumer | Other Consumer | Other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Contracts | contract | 0 | 0 |
Post-modification Outstanding Balance (2) | $ 0 | $ 0 |
Financial effects of modification | $ 0 | $ 0 |
AVAILABLE-FOR-SALE AND OTHER 75
AVAILABLE-FOR-SALE AND OTHER SECURITIES - Narrative (Details) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Schedule of Available-for-sale Securities [Line Items] | ||
Pledged investment securities to secure public and trust deposits, trading account liabilities, US Treasury demand notes and security repurchase agreements | $ 5,000 | |
Nonmarketable equity securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Stock issued by Federal Reserve Banks included in other securities | 299 | $ 176 |
Nonmarketable equity securities | Federal Home Loan Bank of Cincinnati | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Federal home loan bank stock | $ 249 | $ 157 |
AVAILABLE-FOR-SALE AND OTHER 76
AVAILABLE-FOR-SALE AND OTHER SECURITIES - Contractual Maturities (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Amortized Cost: | ||
Amortized cost, under 1 year | $ 223,789 | $ 333,891 |
Amortized cost, 1-5 years | 1,147,510 | 1,184,454 |
Amortized cost, 6-10 years | 1,956,893 | 1,648,808 |
Amortized cost, over 10 years | 11,884,812 | 5,259,855 |
Amortized cost | 15,776,855 | 8,770,923 |
Fair Value: | ||
Fair value, under 1 year | 221,495 | 332,980 |
Amortized cost, 1-5 years | 1,149,460 | 1,189,455 |
Fair value, 6-10 years | 1,962,345 | 1,645,759 |
Amortized cost, over 10 years | 11,665,245 | 5,263,063 |
Fair Value | 15,562,837 | 8,775,441 |
Nonmarketable equity securities | ||
Amortized Cost: | ||
Amortized cost | 547,704 | 332,786 |
Fair Value: | ||
Fair Value | 547,704 | 332,786 |
Mutual funds | ||
Amortized Cost: | ||
Amortized cost | 15,286 | 10,604 |
Fair Value: | ||
Fair Value | 15,286 | 10,604 |
Marketable equity securities | ||
Amortized Cost: | ||
Amortized cost | 861 | 525 |
Fair Value: | ||
Fair Value | $ 1,302 | $ 794 |
AVAILABLE-FOR-SALE AND OTHER 77
AVAILABLE-FOR-SALE AND OTHER SECURITIES - Schedule of Amortized Cost, Fair Value, and Gross Unrealized Gains/(Losses) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | $ 15,776,855 | $ 8,770,923 |
Gross Gains | 47,626 | 88,169 |
Gross Losses | (261,644) | (83,651) |
Fair Value | 15,562,837 | 8,775,441 |
U.S. Treasury securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 5,480 | 5,457 |
Gross Gains | 17 | 15 |
Gross Losses | 0 | 0 |
Fair Value | 5,497 | 5,472 |
Federal agencies: Mortgage-backed | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 10,851,461 | 4,505,318 |
Gross Gains | 12,548 | 30,078 |
Gross Losses | (190,667) | (13,708) |
Fair Value | 10,673,342 | 4,521,688 |
Federal agencies: Other agencies | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 73,012 | 115,076 |
Gross Gains | 536 | 888 |
Gross Losses | (6) | (51) |
Fair Value | 73,542 | 115,913 |
Total U.S. Government backed agencies | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 10,929,953 | 4,625,851 |
Gross Gains | 13,101 | 30,981 |
Gross Losses | (190,673) | (13,759) |
Fair Value | 10,752,381 | 4,643,073 |
Municipal securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 3,260,428 | 2,431,943 |
Gross Gains | 28,431 | 51,558 |
Gross Losses | (38,802) | (27,105) |
Fair Value | 3,250,057 | 2,456,396 |
Asset-backed securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 824,124 | 901,059 |
Gross Gains | 1,492 | 535 |
Gross Losses | (32,135) | (40,181) |
Fair Value | 793,481 | 861,413 |
Corporate debt | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 194,537 | 464,207 |
Gross Gains | 4,161 | 4,824 |
Gross Losses | (15) | (2,554) |
Fair Value | 198,683 | 466,477 |
Other securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 567,813 | 347,863 |
Gross Gains | 441 | 271 |
Gross Losses | (19) | (52) |
Fair Value | $ 568,235 | $ 348,082 |
AVAILABLE-FOR-SALE AND OTHER 78
AVAILABLE-FOR-SALE AND OTHER SECURITIES - Continuous Unrealized Loss Position (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 months, Fair Value | $ 10,687,088 | $ 2,987,605 |
Over 12 Months, Fair Value | 494,614 | 563,431 |
Total, Fair Value | 11,181,702 | 3,551,036 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Losses | (221,568) | (34,876) |
Over 12 Months, Unrealized Losses | (40,076) | (48,775) |
Total, Unrealized Losses | (261,644) | (83,651) |
Federal agencies: Mortgage-backed | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 months, Fair Value | 8,908,470 | 1,658,516 |
Over 12 Months, Fair Value | 41,706 | 84,147 |
Total, Fair Value | 8,950,176 | 1,742,663 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Losses | (189,318) | (11,341) |
Over 12 Months, Unrealized Losses | (1,349) | (2,367) |
Total, Unrealized Losses | (190,667) | (13,708) |
Federal agencies: Other agencies | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 months, Fair Value | 924 | 37,982 |
Over 12 Months, Fair Value | 0 | 0 |
Total, Fair Value | 924 | 37,982 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Losses | (6) | (51) |
Over 12 Months, Unrealized Losses | 0 | 0 |
Total, Unrealized Losses | (6) | (51) |
Total U.S. Government backed agencies | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 months, Fair Value | 8,909,394 | 1,696,498 |
Over 12 Months, Fair Value | 41,706 | 84,147 |
Total, Fair Value | 8,951,100 | 1,780,645 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Losses | (189,324) | (11,392) |
Over 12 Months, Unrealized Losses | (1,349) | (2,367) |
Total, Unrealized Losses | (190,673) | (13,759) |
Municipal securities | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 months, Fair Value | 1,412,152 | 570,916 |
Over 12 Months, Fair Value | 272,292 | 248,204 |
Total, Fair Value | 1,684,444 | 819,120 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Losses | (29,175) | (15,992) |
Over 12 Months, Unrealized Losses | (9,627) | (11,113) |
Total, Unrealized Losses | (38,802) | (27,105) |
Asset-backed securities | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 months, Fair Value | 361,185 | 552,275 |
Over 12 Months, Fair Value | 178,924 | 207,639 |
Total, Fair Value | 540,109 | 759,914 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Losses | (3,043) | (5,791) |
Over 12 Months, Unrealized Losses | (29,092) | (34,390) |
Total, Unrealized Losses | (32,135) | (40,181) |
Corporate debt | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 months, Fair Value | 3,567 | 167,144 |
Over 12 Months, Fair Value | 200 | 21,965 |
Total, Fair Value | 3,767 | 189,109 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Losses | (15) | (1,673) |
Over 12 Months, Unrealized Losses | 0 | (881) |
Total, Unrealized Losses | (15) | (2,554) |
Other securities | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value [Abstract] | ||
Less than 12 months, Fair Value | 790 | 772 |
Over 12 Months, Fair Value | 1,492 | 1,476 |
Total, Fair Value | 2,282 | 2,248 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 Months, Unrealized Losses | (11) | (28) |
Over 12 Months, Unrealized Losses | (8) | (24) |
Total, Unrealized Losses | $ (19) | $ (52) |
AVAILABLE-FOR-SALE AND OTHER 79
AVAILABLE-FOR-SALE AND OTHER SECURITIES - Realized Securities Gains (Losses) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Investments, Debt and Equity Securities [Abstract] | |||
Gross gains on sales of securities | $ 23,095 | $ 6,730 | $ 17,729 |
Gross (losses) on sales of securities | (21,060) | (3,546) | (175) |
Net gain (loss) on sales of securities | $ 2,035 | $ 3,184 | $ 17,554 |
AVAILABLE-FOR-SALE AND OTHER 80
AVAILABLE-FOR-SALE AND OTHER SECURITIES - Collateralized Debt Obligation Securities (Details) $ in Thousands | Dec. 31, 2016USD ($)issuer | Dec. 31, 2015USD ($) |
Schedule of Available-for-sale Securities [Line Items] | ||
Unrealized Loss | $ (261,644) | $ (83,651) |
Collateralized Debt Obligations | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Par Value | 137,197 | 179,574 |
Amortized Cost | 101,210 | 131,991 |
Fair Value | 76,003 | 100,338 |
Unrealized Loss | $ (25,207) | $ (31,654) |
Collateralized Debt Obligations | Alesco II | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Number of Issuers Currently Performing | issuer | 30 | |
Number of Issuers Currently Remaining | issuer | 32 | |
Collateralized Debt Obligations | ICONS | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Par Value | $ 18,594 | |
Amortized Cost | 18,594 | |
Fair Value | 15,307 | |
Unrealized Loss | $ (3,287) | |
Number of Issuers Currently Performing | issuer | 19 | |
Number of Issuers Currently Remaining | issuer | 21 | |
Actual Deferrals and Defaults as a % of Original Collateral | 7.00% | |
Expected Defaults as a % of Remaining Performing Collateral | 13.00% | |
Available-for-sale Securities, Excess Subordination | 54.00% | |
Collateralized Debt Obligations | MM Comm III | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Par Value | $ 4,573 | |
Amortized Cost | 4,369 | |
Fair Value | 3,618 | |
Unrealized Loss | $ (751) | |
Number of Issuers Currently Performing | issuer | 5 | |
Number of Issuers Currently Remaining | issuer | 8 | |
Actual Deferrals and Defaults as a % of Original Collateral | 5.00% | |
Expected Defaults as a % of Remaining Performing Collateral | 6.00% | |
Available-for-sale Securities, Excess Subordination | 38.00% | |
Collateralized Debt Obligations | Pre TSL IX | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Par Value | $ 5,000 | |
Amortized Cost | 3,955 | |
Fair Value | 3,253 | |
Unrealized Loss | $ (702) | |
Number of Issuers Currently Performing | issuer | 27 | |
Number of Issuers Currently Remaining | issuer | 38 | |
Actual Deferrals and Defaults as a % of Original Collateral | 16.00% | |
Expected Defaults as a % of Remaining Performing Collateral | 9.00% | |
Available-for-sale Securities, Excess Subordination | 8.00% | |
Collateralized Debt Obligations | Pre TSL XI | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Par Value | $ 25,000 | |
Amortized Cost | 19,576 | |
Fair Value | 15,767 | |
Unrealized Loss | $ (3,809) | |
Number of Issuers Currently Performing | issuer | 42 | |
Number of Issuers Currently Remaining | issuer | 55 | |
Actual Deferrals and Defaults as a % of Original Collateral | 14.00% | |
Expected Defaults as a % of Remaining Performing Collateral | 8.00% | |
Available-for-sale Securities, Excess Subordination | 14.00% | |
Collateralized Debt Obligations | Pre TSL XIII | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Par Value | $ 27,530 | |
Amortized Cost | 19,106 | |
Fair Value | 17,146 | |
Unrealized Loss | $ (1,960) | |
Number of Issuers Currently Performing | issuer | 47 | |
Number of Issuers Currently Remaining | issuer | 56 | |
Actual Deferrals and Defaults as a % of Original Collateral | 9.00% | |
Expected Defaults as a % of Remaining Performing Collateral | 11.00% | |
Available-for-sale Securities, Excess Subordination | 29.00% | |
Collateralized Debt Obligations | Reg Diversified | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Par Value | $ 25,500 | |
Amortized Cost | 4,610 | |
Fair Value | 1,752 | |
Unrealized Loss | $ (2,858) | |
Number of Issuers Currently Performing | issuer | 23 | |
Number of Issuers Currently Remaining | issuer | 39 | |
Actual Deferrals and Defaults as a % of Original Collateral | 35.00% | |
Expected Defaults as a % of Remaining Performing Collateral | 8.00% | |
Available-for-sale Securities, Excess Subordination | 0.00% | |
Collateralized Debt Obligations | Soloso | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Number of Issuers Currently Performing | issuer | 30 | |
Number of Issuers Currently Remaining | issuer | 40 | |
Collateralized Debt Obligations | Tropic III [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Par Value | $ 31,000 | |
Amortized Cost | 31,000 | |
Fair Value | 19,160 | |
Unrealized Loss | $ (11,840) | |
Actual Deferrals and Defaults as a % of Original Collateral | 16.00% | |
Expected Defaults as a % of Remaining Performing Collateral | 7.00% | |
Available-for-sale Securities, Excess Subordination | 42.00% |
AVAILABLE-FOR-SALE AND OTHER 81
AVAILABLE-FOR-SALE AND OTHER SECURITIES - Security Impairment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Impairment losses recognized in earnings on available-for-sale securities | $ (2,119) | $ (2,440) | $ 0 |
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Roll Forward] | |||
Balance, beginning of year | 18,368 | 30,869 | |
Reductions from sales | (8,690) | (14,941) | |
Credit losses not previously recognized | 2,119 | 0 | |
Additional credit losses | 0 | 2,440 | |
Balance, end of year | 11,797 | 18,368 | 30,869 |
Collateralized Debt Obligations | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Impairment losses recognized in earnings on available-for-sale securities | 0 | (2,440) | 0 |
Municipal Securities | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Impairment losses recognized in earnings on available-for-sale securities | $ (2,119) | $ 0 | $ 0 |
HELD-TO-MATURITY SECURITIES - N
HELD-TO-MATURITY SECURITIES - Narrative (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Held-to-maturity Securities [Abstract] | ||
Available-for-sale securities transferred to held-to-maturity securities | $ 3,000,000,000 | |
Unrealized net losses recognized in OCI at time of transfer of available-for-sale securities transferred to held-to-maturity securities | 58,000,000 | |
Other than temporary impairment losses, held-to-maturity | $ 0 | $ 0 |
HELD-TO-MATURITY SECURITIES - C
HELD-TO-MATURITY SECURITIES - Contractual Maturities (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Held-to-maturity Securities, Debt Maturities, Amortized Cost, Rolling Maturity [Abstract] | ||
Amortized Cost | $ 7,806,939 | $ 6,159,590 |
Held-to-maturity Securities, Debt Maturities, Fair Value, Rolling Maturity [Abstract] | ||
Held-to-maturity Securities, Fair Value | 7,787,268 | 6,135,458 |
Federal agencies: Mortgage-backed | ||
Held-to-maturity Securities, Debt Maturities, Amortized Cost, Rolling Maturity [Abstract] | ||
Held-to-maturity Securities, Under 1 year | 0 | 0 |
Held-to-maturity Securities, 1-5 years | 0 | 0 |
Held-to-maturity Securities, 6-10 years | 41,261 | 25,909 |
Held-to-maturity Securities, Over 10 years | 7,157,083 | 5,506,592 |
Amortized Cost | 7,198,344 | 5,532,501 |
Held-to-maturity Securities, Debt Maturities, Fair Value, Rolling Maturity [Abstract] | ||
Fair Value, Under 1 year | 0 | 0 |
Fair Value, 1-5 years | 0 | 0 |
Fair Value, 6-10 years | 40,791 | 25,227 |
Fair Value, Over 10 Years | 7,139,943 | 5,484,407 |
Held-to-maturity Securities, Fair Value | 7,180,734 | 5,509,634 |
Federal agencies: Other agencies | ||
Held-to-maturity Securities, Debt Maturities, Amortized Cost, Rolling Maturity [Abstract] | ||
Held-to-maturity Securities, Under 1 year | 0 | 0 |
Held-to-maturity Securities, 1-5 years | 0 | 0 |
Held-to-maturity Securities, 6-10 years | 398,341 | 283,960 |
Held-to-maturity Securities, Over 10 years | 204,083 | 336,092 |
Amortized Cost | 602,424 | 620,052 |
Held-to-maturity Securities, Debt Maturities, Fair Value, Rolling Maturity [Abstract] | ||
Fair Value, Under 1 year | 0 | 0 |
Fair Value, 1-5 years | 0 | 0 |
Fair Value, 6-10 years | 399,452 | 284,907 |
Fair Value, Over 10 Years | 201,180 | 334,004 |
Held-to-maturity Securities, Fair Value | 600,632 | 618,911 |
Total U.S. Government backed agencies | ||
Held-to-maturity Securities, Debt Maturities, Amortized Cost, Rolling Maturity [Abstract] | ||
Amortized Cost | 7,800,768 | 6,152,553 |
Held-to-maturity Securities, Debt Maturities, Fair Value, Rolling Maturity [Abstract] | ||
Held-to-maturity Securities, Fair Value | 7,781,366 | 6,128,545 |
Municipal securities | ||
Held-to-maturity Securities, Debt Maturities, Amortized Cost, Rolling Maturity [Abstract] | ||
Held-to-maturity Securities, Under 1 year | 0 | 0 |
Held-to-maturity Securities, 1-5 years | 0 | 0 |
Held-to-maturity Securities, 6-10 years | 0 | 0 |
Held-to-maturity Securities, Over 10 years | 6,171 | 7,037 |
Amortized Cost | 6,171 | 7,037 |
Held-to-maturity Securities, Debt Maturities, Fair Value, Rolling Maturity [Abstract] | ||
Fair Value, Under 1 year | 0 | 0 |
Fair Value, 1-5 years | 0 | 0 |
Fair Value, 6-10 years | 0 | 0 |
Fair Value, Over 10 Years | 5,902 | 6,913 |
Held-to-maturity Securities, Fair Value | $ 5,902 | $ 6,913 |
HELD-TO-MATURITY SECURITIES - S
HELD-TO-MATURITY SECURITIES - Schedule of Amortized Cost, Gross Unrealized Gains and Losses, & Fair Value (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Held-to-maturity Securities [Abstract] | ||
Amortized Cost | $ 7,806,939 | $ 6,159,590 |
Unrealized Gross Gains | 22,573 | 16,282 |
Unrealized Gross Losses | (42,244) | (40,414) |
Fair Value | 7,787,268 | 6,135,458 |
Federal agencies: Mortgage-backed | ||
Held-to-maturity Securities [Abstract] | ||
Amortized Cost | 7,198,344 | 5,532,501 |
Unrealized Gross Gains | 20,883 | 14,637 |
Unrealized Gross Losses | (38,493) | (37,504) |
Fair Value | 7,180,734 | 5,509,634 |
Federal agencies: Other agencies | ||
Held-to-maturity Securities [Abstract] | ||
Amortized Cost | 602,424 | 620,052 |
Unrealized Gross Gains | 1,690 | 1,645 |
Unrealized Gross Losses | (3,482) | (2,786) |
Fair Value | 600,632 | 618,911 |
Total U.S. Government backed agencies | ||
Held-to-maturity Securities [Abstract] | ||
Amortized Cost | 7,800,768 | 6,152,553 |
Unrealized Gross Gains | 22,573 | 16,282 |
Unrealized Gross Losses | (41,975) | (40,290) |
Fair Value | 7,781,366 | 6,128,545 |
Municipal securities | ||
Held-to-maturity Securities [Abstract] | ||
Amortized Cost | 6,171 | 7,037 |
Unrealized Gross Gains | 0 | 0 |
Unrealized Gross Losses | (269) | (124) |
Fair Value | $ 5,902 | $ 6,913 |
HELD-TO-MATURITY SECURITIES -85
HELD-TO-MATURITY SECURITIES - Schedule of Continuous Unrealized Loss Position (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Fair Value: | ||
Less Than Twelve Months, Fair Value | $ 3,274,469 | $ 4,118,300 |
Over Twelve Months, Fair Value | 186,226 | 533,432 |
Fair Value | 3,460,695 | 4,651,732 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Accumulated Loss: | ||
Less than 12 Months, Unrealized Losses | (35,221) | (28,107) |
Over 12 Months, Unrealized Losses | (7,023) | (12,307) |
Unrealized Losses | (42,244) | (40,414) |
Federal agencies: Mortgage-backed | ||
Held-to-maturity Securities, Continuous Unrealized Loss Position, Fair Value: | ||
Less Than Twelve Months, Fair Value | 2,855,360 | 3,692,890 |
Over Twelve Months, Fair Value | 186,226 | 519,872 |
Fair Value | 3,041,586 | 4,212,762 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Accumulated Loss: | ||
Less than 12 Months, Unrealized Losses | (31,470) | (25,418) |
Over 12 Months, Unrealized Losses | (7,023) | (12,086) |
Unrealized Losses | (38,493) | (37,504) |
Federal agencies: Other agencies | ||
Held-to-maturity Securities, Continuous Unrealized Loss Position, Fair Value: | ||
Less Than Twelve Months, Fair Value | 413,207 | 425,410 |
Over Twelve Months, Fair Value | 0 | 6,647 |
Fair Value | 413,207 | 432,057 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Accumulated Loss: | ||
Less than 12 Months, Unrealized Losses | (3,482) | (2,689) |
Over 12 Months, Unrealized Losses | 0 | (97) |
Unrealized Losses | (3,482) | (2,786) |
Total U.S. Government backed agencies | ||
Held-to-maturity Securities, Continuous Unrealized Loss Position, Fair Value: | ||
Less Than Twelve Months, Fair Value | 3,268,567 | 4,118,300 |
Over Twelve Months, Fair Value | 186,226 | 526,519 |
Fair Value | 3,454,793 | 4,644,819 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Accumulated Loss: | ||
Less than 12 Months, Unrealized Losses | (34,952) | (28,107) |
Over 12 Months, Unrealized Losses | (7,023) | (12,183) |
Unrealized Losses | (41,975) | (40,290) |
Municipal securities | ||
Held-to-maturity Securities, Continuous Unrealized Loss Position, Fair Value: | ||
Less Than Twelve Months, Fair Value | 5,902 | 0 |
Over Twelve Months, Fair Value | 0 | 6,913 |
Fair Value | 5,902 | 6,913 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Accumulated Loss: | ||
Less than 12 Months, Unrealized Losses | (269) | 0 |
Over 12 Months, Unrealized Losses | 0 | (124) |
Unrealized Losses | $ (269) | $ (124) |
LOAN SALES AND SECURITIZATION86
LOAN SALES AND SECURITIZATIONS - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Jun. 30, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
2015-1 Automobile Trust | ||||
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | ||||
Total of automobile loans transferred In securitization transaction | $ 1,000 | |||
Residential Mortgage | ||||
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | ||||
Servicing, late and other ancillary fees included in mortgage banking income | $ 50,000 | $ 47,000 | $ 44,000 | |
Unpaid principal balance of third party serviced loans | 18,900,000 | 16,200,000 | 15,600,000 | |
Pretax gains resulting from above loan sales | 96,585 | 83,148 | 57,590 | |
Automobile | ||||
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | ||||
Servicing, late and other ancillary fees included in mortgage banking income | 9,000 | 5,000 | 8,000 | |
Unpaid principal balance of third party serviced loans | 1,700,000 | 900,000 | 800,000 | |
Total of automobile loans transferred In securitization transaction | 0 | |||
Proceeds from new transfers | 0 | |||
Automobile | 2015-1 Automobile Trust | ||||
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | ||||
Total of automobile loans transferred In securitization transaction | 750,000 | |||
Proceeds from new transfers | 780,117 | |||
Commercial | ||||
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | ||||
Servicing, late and other ancillary fees included in mortgage banking income | 9,000 | 8,000 | 7,000 | |
Unpaid principal balance of third party serviced loans | $ 1,100,000 | $ 1,000,000 | $ 900,000 |
LOAN SALES AND SECURITIZATION87
LOAN SALES AND SECURITIZATIONS - Residential Mortgage Portfolio (Details) - Residential Mortgage - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | |||
Residential mortgage loans sold with servicing retained | $ 3,632,024 | $ 3,322,723 | $ 2,330,060 |
Pretax gains resulting from above loan sales | $ 96,585 | $ 83,148 | $ 57,590 |
LOAN SALES AND SECURITIZATION88
LOAN SALES AND SECURITIZATIONS - Residential Mortgage Portfolio, MSRs Fair Value Method (Details) - Residential Mortgage - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Servicing Asset at Fair Value, Amount [Roll Forward] | ||
Fair value, beginning of year | $ 17,585 | $ 22,786 |
Time decay | (950) | (1,295) |
Payoffs | (1,827) | (3,031) |
Changes in valuation inputs or assumptions | (1,061) | (875) |
Fair value, end of year | $ 13,747 | $ 17,585 |
Sensitivity Analysis Fair Value Carrying Method | ||
Servicing Asset at Fair Value, Amount [Roll Forward] | ||
Weighted-average life (years) | 5 years 8 months | 4 years 7 months |
LOAN SALES AND SECURITIZATION89
LOAN SALES AND SECURITIZATIONS - Residential Mortgage Portfolio, MSRs Amortization Method (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Servicing Asset at Amortized Cost, Balance [Roll Forward] | ||
Fair value, end of year | $ 225,578 | $ 189,237 |
Residential Mortgage | ||
Servicing Asset at Amortized Cost, Balance [Roll Forward] | ||
Carrying value, beginning of year | 143,133 | 132,812 |
New servicing assets created | 37,813 | 35,407 |
Servicing assets acquired | 15,317 | 0 |
Impairment recovery (charge) | (1,918) | (2,732) |
Amortization and other | (25,715) | (22,354) |
Carrying value, end of year | 172,466 | 143,133 |
Fair value, end of year | $ 172,779 | $ 143,435 |
Residential Mortgage | Sensitivity Analysis Amortization Carrying Method | ||
Servicing Asset at Amortized Cost, Balance [Roll Forward] | ||
Weighted-average life (years) | 7 years 2 months | 5 years 11 months |
LOAN SALES AND SECURITIZATION90
LOAN SALES AND SECURITIZATIONS - Residential Mortgage Portfolio, MSRs Fair Value Method Assumptions (Details) - Residential Mortgage - Sensitivity Analysis Fair Value Carrying Method - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items] | ||
Constant prepayment rate (annualized) | 10.90% | 14.70% |
Constant prepayment rate (annualized), Decline in fair value due to 10% adverse change | $ (501) | $ (864) |
Constant prepayment rate (annualized), Decline in fair value due to 20% adverse change | $ (970) | $ (1,653) |
Spread over forward interest rate swap rates | 0.00% | 5.00% |
Spread over forward interest rate swap rates, Decline in fair value due to 10% adverse change | $ (454) | $ (559) |
Spread over forward interest rate swap rates, Decline in fair value due to 20% adverse change | $ (879) | $ (1,083) |
LOAN SALES AND SECURITIZATION91
LOAN SALES AND SECURITIZATIONS - Residential Mortgage Portfolio, MSRs Amortization Method Assumptions (Details) - Sensitivity Analysis Amortization Carrying Method - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Automobile | ||
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items] | ||
Constant prepayment rate (annualized) | 19.98% | 18.36% |
Constant prepayment rate (annualized), Decline in fair value due to 10% adverse change | $ (1,047) | $ (500) |
Constant prepayment rate (annualized), Decline in fair value due to 20% adverse change | $ (2,026) | $ (895) |
Spread over forward interest rate swap rates | 0.00% | 5.00% |
Spread over forward interest rate swap rates, Decline in fair value due to 10% adverse change | $ (26) | $ (10) |
Spread over forward interest rate swap rates, Decline in fair value due to 20% adverse change | $ (53) | $ (19) |
Residential Mortgage | ||
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items] | ||
Constant prepayment rate (annualized) | 7.80% | 11.10% |
Constant prepayment rate (annualized), Decline in fair value due to 10% adverse change | $ (4,510) | $ (5,543) |
Constant prepayment rate (annualized), Decline in fair value due to 20% adverse change | $ (8,763) | $ (10,648) |
Spread over forward interest rate swap rates | 0.00% | 9.00% |
Spread over forward interest rate swap rates, Decline in fair value due to 10% adverse change | $ (5,259) | $ (4,662) |
Spread over forward interest rate swap rates, Decline in fair value due to 20% adverse change | $ (10,195) | $ (9,017) |
LOAN SALES AND SECURITIZATION92
LOAN SALES AND SECURITIZATIONS - Automobile Loans (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Dec. 31, 2016 | Jun. 30, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Automobile | |||||
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | |||||
Total of automobile loans transferred In securitization transaction | $ 0 | ||||
Proceeds from new transfers | 0 | ||||
Gain (Loss) on Sale of Mortgage Loans | $ 5,632 | $ 5,333 | 0 | ||
New servicing assets created | $ 0 | ||||
Trust 2016 Unconsolidated | |||||
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | |||||
Total of automobile loans transferred In securitization transaction | $ 2,000 | ||||
Trust 2016 Unconsolidated | Automobile | |||||
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | |||||
Total of automobile loans transferred In securitization transaction | 1,500,000 | ||||
Proceeds from new transfers | 1,551,679 | ||||
New servicing assets created | $ 15,670 | ||||
2015-1 Automobile Trust | |||||
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | |||||
Total of automobile loans transferred In securitization transaction | $ 1,000 | ||||
2015-1 Automobile Trust | Automobile | |||||
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | |||||
Total of automobile loans transferred In securitization transaction | 750,000 | ||||
Proceeds from new transfers | 780,117 | ||||
New servicing assets created | $ 11,180 |
LOAN SALES AND SECURITIZATION93
LOAN SALES AND SECURITIZATIONS - Automobile Loans, MSRs Amortization Method (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Servicing Asset at Amortized Cost, Balance [Roll Forward] | |||
Fair value, end of year | $ 225,578 | $ 189,237 | |
Automobile | |||
Servicing Asset at Amortized Cost, Balance [Roll Forward] | |||
Carrying value, beginning of year | 8,771 | 6,898 | |
New servicing assets created | $ 0 | ||
Amortization and other | (6,156) | (9,307) | |
Carrying value, end of year | 18,285 | 8,771 | $ 6,898 |
Fair value, end of year | $ 18,388 | $ 9,127 | |
Automobile | Sensitivity Analysis Amortization Carrying Method | |||
Servicing Asset at Amortized Cost, Balance [Roll Forward] | |||
Weighted-average life (years) | 4 years 2 months | 3 years 2 months |
LOAN SALES AND SECURITIZATION94
LOAN SALES AND SECURITIZATIONS - Automobile Loans, MSRs Amortization Method Assumptions (Details) - Automobile - Sensitivity Analysis Amortization Carrying Method - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items] | ||
Constant prepayment rate (annualized) | 19.98% | 18.36% |
Constant prepayment rate (annualized), Decline in fair value due to 10% adverse change | $ (1,047) | $ (500) |
Constant prepayment rate (annualized), Decline in fair value due to 20% adverse change | $ (2,026) | $ (895) |
Spread over forward interest rate swap rates | 0.00% | 5.00% |
Spread over forward interest rate swap rates, Decline in fair value due to 10% adverse change | $ (26) | $ (10) |
Spread over forward interest rate swap rates, Decline in fair value due to 20% adverse change | $ (53) | $ (19) |
LOAN SALES AND SECURITIZATION95
LOAN SALES AND SECURITIZATIONS - Small Business Association Portfolio (Details) - Commercial - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items] | |||
Residential mortgage loans sold with servicing retained | $ 269,923 | $ 232,848 | $ 214,760 |
Pretax gains resulting from above loan sales | $ 20,516 | $ 18,626 | $ 24,579 |
LOAN SALES AND SECURITIZATION96
LOAN SALES AND SECURITIZATIONS - Small Business Association, MSRs Amortization Method (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Servicing Asset at Amortized Cost, Balance [Roll Forward] | ||
Fair value, end of year | $ 225,578 | $ 189,237 |
Commercial | ||
Servicing Asset at Amortized Cost, Balance [Roll Forward] | ||
Carrying value, beginning of year | 19,747 | 18,536 |
New servicing assets created | 8,705 | 8,012 |
Amortization and other | (7,372) | (6,801) |
Carrying value, end of year | 21,080 | 19,747 |
Fair value, end of year | $ 24,270 | $ 22,649 |
Commercial | Sensitivity Analysis Amortization Carrying Method | ||
Servicing Asset at Amortized Cost, Balance [Roll Forward] | ||
Weighted-average life (years) | 3 years 3 months 18 days | 3 years 3 months 18 days |
LOAN SALES AND SECURITIZATION97
LOAN SALES AND SECURITIZATIONS - Small Business Association, MSRs Amortization Method Assumptions (Details) - Commercial - Sensitivity Analysis Amortization Carrying Method - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items] | ||
Constant prepayment rate (annualized) | 7.40% | 7.60% |
Constant prepayment rate (annualized), Decline in fair value due to 10% adverse change | $ (324) | $ (313) |
Constant prepayment rate (annualized), Decline in fair value due to 20% adverse change | $ (644) | $ (622) |
Spread over forward interest rate swap rates | 15.00% | 15.00% |
Spread over forward interest rate swap rates, Decline in fair value due to 10% adverse change | $ (1,270) | $ (610) |
Spread over forward interest rate swap rates, Decline in fair value due to 20% adverse change | $ (1,870) | $ (1,194) |
GOODWILL AND OTHER INTANGIBLE98
GOODWILL AND OTHER INTANGIBLE ASSETS - Schedule of Goodwill (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Sep. 30, 2016 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Goodwill by business segment | |||||
Beginning Balance | $ 522,541 | $ 676,869 | $ 522,541 | ||
Goodwill acquired during the period | 1,320,818 | 155,828 | |||
Adjustments | 4,838 | 1,500 | |||
Impairment | 0 | 0 | $ (3,000) | ||
Ending Balance | 1,992,849 | 676,869 | 522,541 | ||
Operating Segments | Consumer & Business Banking | |||||
Goodwill by business segment | |||||
Beginning Balance | 368,097 | 368,097 | 368,097 | ||
Goodwill acquired during the period | 1,030,046 | 0 | |||
Adjustments | 0 | 0 | |||
Ending Balance | 1,398,143 | 368,097 | 368,097 | ||
Operating Segments | Commercial Banking | |||||
Goodwill by business segment | |||||
Beginning Balance | 59,594 | 215,422 | 59,594 | ||
Goodwill acquired during the period | 237,542 | 155,828 | |||
Adjustments | 0 | 0 | |||
Ending Balance | 452,964 | 215,422 | 59,594 | ||
Operating Segments | CREVF | |||||
Goodwill by business segment | |||||
Beginning Balance | 0 | 0 | 0 | ||
Goodwill acquired during the period | 0 | 0 | |||
Adjustments | 0 | 0 | |||
Ending Balance | 0 | 0 | 0 | ||
Operating Segments | RBHPCG | |||||
Goodwill by business segment | |||||
Beginning Balance | 90,012 | 88,512 | 90,012 | ||
Goodwill acquired during the period | 53,230 | 0 | |||
Adjustments | 0 | (1,500) | |||
Ending Balance | 141,742 | 88,512 | 90,012 | ||
Operating Segments | Home Lending | |||||
Goodwill by business segment | |||||
Beginning Balance | 0 | 0 | 0 | ||
Goodwill acquired during the period | 0 | 0 | |||
Adjustments | 0 | 0 | |||
Impairment | (3,000) | ||||
Ending Balance | 0 | 0 | 0 | ||
Treasury / Other | |||||
Goodwill by business segment | |||||
Beginning Balance | $ 4,838 | 4,838 | 4,838 | ||
Goodwill acquired during the period | 0 | 0 | |||
Adjustments | $ (4,838) | 0 | |||
Ending Balance | $ 0 | $ 4,838 | $ 4,838 |
GOODWILL AND OTHER INTANGIBLE99
GOODWILL AND OTHER INTANGIBLE ASSETS - Schedule of Other Intangible Assets (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Finite-Lived Intangible Assets [Line Items] | ||||
Goodwill | $ 1,992,849 | $ 676,869 | $ 522,541 | |
Contribution of intangible asset | $ 14,000 | |||
Total other intangible assets, gross carrying amount | 519,725 | 541,316 | ||
Total other intangible assets, accumulated amortization | (117,267) | (486,338) | ||
Total other intangible assets, net of carrying value | 402,458 | 54,978 | ||
Goodwill, Other Increase (Decrease) | (4,838) | (1,500) | ||
Core deposit intangible | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Total other intangible assets, gross carrying amount | 324,619 | 400,058 | ||
Total other intangible assets, accumulated amortization | (26,778) | (384,606) | ||
Total other intangible assets, net of carrying value | 297,841 | 15,452 | ||
Customer relationship | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Total other intangible assets, gross carrying amount | 194,956 | 116,094 | ||
Total other intangible assets, accumulated amortization | (90,383) | (76,656) | ||
Total other intangible assets, net of carrying value | 104,573 | 39,438 | ||
Other | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Total other intangible assets, gross carrying amount | 150 | 25,164 | ||
Total other intangible assets, accumulated amortization | (106) | (25,076) | ||
Total other intangible assets, net of carrying value | $ 44 | $ 88 |
GOODWILL AND OTHER INTANGIBL100
GOODWILL AND OTHER INTANGIBLE ASSETS - Future Amortization of Intangible Assets (Details) $ in Thousands | Dec. 31, 2016USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2,016 | $ 56,333 |
2,017 | 53,161 |
2,018 | 50,446 |
2,019 | 42,291 |
2,020 | $ 39,783 |
GOODWILL AND OTHER INTANGIBL101
GOODWILL AND OTHER INTANGIBLE ASSETS - Narrative (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2015USD ($) | Dec. 31, 2016USD ($)segments | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Business Acquisition [Line Items] | ||||
Number of reporting segments | segments | 5 | |||
Goodwill | $ 1,992,849 | $ 676,869 | $ 522,541 | |
Other intangible assets | 402,458 | 54,978 | ||
Goodwill acquired during the period | 1,320,818 | 155,828 | ||
Impairment of goodwill | 0 | 0 | 3,000 | |
Macquarie Equipment Finance, Inc | ||||
Business Acquisition [Line Items] | ||||
Goodwill | $ 156,000 | |||
Other intangible assets | 8,000 | |||
Operating Segments | Home Lending | ||||
Business Acquisition [Line Items] | ||||
Goodwill | 0 | 0 | $ 0 | |
Goodwill acquired during the period | $ 0 | $ 0 | ||
Impairment of goodwill | $ 3,000 |
PREMISES AND EQUIPMENT (Details
PREMISES AND EQUIPMENT (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Premises and equipment, gross | $ 1,708,772 | $ 1,401,368 | |
Less accumulated depreciation and amortization | (893,264) | (780,828) | |
Net premises and equipment | 815,508 | 620,540 | |
Property Plant and Equipment Income Statement Disclosures [Abstract] | |||
Total depreciation and amortization of premises and equipment | 125,856 | 85,805 | $ 82,296 |
Rental income credited to occupancy expense | 12,512 | 12,563 | $ 11,556 |
Land and land improvements | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Premises and equipment, gross | 199,193 | 140,414 | |
Buildings | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Premises and equipment, gross | 523,181 | 366,963 | |
Leasehold improvements | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Premises and equipment, gross | 265,384 | 246,222 | |
Equipment | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Premises and equipment, gross | $ 721,014 | $ 647,769 |
SHORT-TERM BORROWINGS (Details)
SHORT-TERM BORROWINGS (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Short-term Debt [Line Items] | ||
Total short-term borrowings | $ 3,692,654 | $ 615,279 |
Federal funds purchased and securities sold under agreements to repurchase | ||
Short-term Debt [Line Items] | ||
Total short-term borrowings | 1,248,089 | 601,272 |
Federal Home Loan Bank advances | ||
Short-term Debt [Line Items] | ||
Total short-term borrowings | 2,425,000 | 0 |
Other borrowings | ||
Short-term Debt [Line Items] | ||
Total short-term borrowings | $ 19,565 | $ 14,007 |
LONG-TERM DEBT - Schedule of Lo
LONG-TERM DEBT - Schedule of Long-Term Debt (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 8,309,159 | $ 7,041,364 |
Subordinated Notes | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | 4,821,846 | 5,540,135 |
Subordinated Notes | 3.86% Huntington National Bank subordinated notes due 2026 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | 239,293 | 0 |
Subordinated Notes | 3.86% Huntington National Bank subordinated notes due 2026 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 131,910 | 136,227 |
Stated rate | 6.67% | |
Subordinated Notes | 6.67% Huntington National Bank subordinated notes due 2018 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 0 | 103,357 |
Stated rate | 5.59% | |
Subordinated Notes | 5.45% Huntington National Bank subordinated notes due 2019 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 81,155 | 83,833 |
Stated rate | 5.45% | |
Senior Notes | 1.43% Huntington National Bank senior note due 2019 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 499,445 | 500,416 |
Stated rate | 2.23% | |
Senior Notes | 2.24% Huntington National Bank senior notes due 2018 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 843,568 | 841,313 |
Stated rate | 2.24% | |
Senior Notes | 2.10% Huntington National Bank senior notes due 2018 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 747,170 | 745,894 |
Stated rate | 2.10% | |
Senior Notes | 1.75% Huntington National Bank senior notes due 2018 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 499,732 | 501,006 |
Stated rate | 1.75% | |
Senior Notes | 2.23% Huntington National Bank senior note due 2017 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 498,448 | 498,185 |
Stated rate | 2.43% | |
Senior Notes | 2.43% Huntington National Bank senior notes due 2020 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 495,088 | 495,998 |
Stated rate | 2.97% | |
Senior Notes | 2.97% Huntington National Bank senior notes due 2020 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 499,686 | 498,678 |
Stated rate | 1.43% | |
Senior Notes | 1.42% Huntington National Bank senior notes due 2017 (5) | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 0 | 498,360 |
Stated rate | 1.31% | |
Senior Notes | 5.04% Huntington National Bank medium-term notes due 2018 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 0 | 349,399 |
Stated rate | 1.40% | |
Senior Notes | 0.74% Huntington National Bank senior note due 2017 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 250,000 | 250,000 |
Effective rate | 0.74% | |
Senior Notes | 1.40% Huntington National Bank senior note due 2016 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 36,351 | 37,469 |
Stated rate | 5.04% | |
Senior Notes | Three-month LIBOR | 0.74% Huntington National Bank senior note due 2017 | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 0.425% | |
Federal Home Loan Bank advances | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 7,540 | 7,800 |
Other borrowings | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 335,158 | 452,448 |
Other borrowings | FHLB advances | ||
Debt Instrument [Line Items] | ||
Effective rate | 3.46% | |
Other borrowings | Huntington Technology Finance nonrecourse debt, 3.43% effective interest rate, varying maturities | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 277,523 | 301,577 |
Effective rate | 4.21% | |
Other borrowings | Huntington Technology Finance ABS Trust 2014 1.70% due 2020 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 57,494 | 123,577 |
Stated rate | 1.35% | |
Other borrowings | Huntington Technology Finance ABS Trust 2012 1.79% due 2017 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 0 | 27,153 |
Stated rate | 1.79% | |
Other borrowings | Other | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 141 | 141 |
Parent Company | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | 3,144,615 | 1,040,981 |
Parent Company | Subordinated Notes | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | 248,156 | 0 |
Parent Company | Subordinated Notes | 7.00% Huntington Bancshares Incorporated subordinated notes due 2020 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 319,857 | 326,379 |
Stated rate | 7.00% | |
Parent Company | Subordinated Notes | Huntington Capital I Trust Preferred 1.03% junior subordinated debentures due 2027 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 68,720 | 110,706 |
Effective rate | 1.03% | |
Parent Company | Subordinated Notes | Sky Financial Capital Trust IV 1.73% Junior Subordinated Debentures Due 2036 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 74,320 | 74,320 |
Effective rate | 1.73% | |
Parent Company | Subordinated Notes | Sky Financial Capital Trust III 2.01% junior subordinated debentures due 2036 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 72,165 | 72,165 |
Effective rate | 2.01% | |
Parent Company | Subordinated Notes | Huntington Capital II Trust Preferred 1.14% junior subordinated debentures due 2028 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 31,576 | 54,030 |
Effective rate | 1.14% | |
Parent Company | Subordinated Notes | Camco Statutory Trust I 2.95% due 2037 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 4,244 | 4,212 |
Effective rate | 2.95% | |
Parent Company | Subordinated Notes | Three-month LIBOR | Huntington Capital I Trust Preferred 1.03% junior subordinated debentures due 2027 | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 0.70% | |
Parent Company | Subordinated Notes | Three-month LIBOR | Sky Financial Capital Trust IV 1.73% Junior Subordinated Debentures Due 2036 | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.40% | |
Parent Company | Subordinated Notes | Three-month LIBOR | Sky Financial Capital Trust III 2.01% junior subordinated debentures due 2036 | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.40% | |
Parent Company | Subordinated Notes | Three-month LIBOR | Huntington Capital II Trust Preferred 1.14% junior subordinated debentures due 2028 | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 0.625% | |
Parent Company | Subordinated Notes | Three-month LIBOR | Camco Statutory Trust I 2.95% due 2037 | ||
Debt Instrument [Line Items] | ||
Basis spread on variable rate | 1.33% | |
Parent Company | Senior Notes | Huntington Bancshares Incorporated Medium-Term Notes Due 2021, 3.19 Percent | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 972,625 | 0 |
Parent Company | Senior Notes | Huntington Bancshares Incorporated Senior Note due 2022, 2.33 Percent | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | 953,674 | 0 |
Parent Company | Senior Notes | 3.19% Huntington Bancshares Incorporated medium-term notes due 2021 | ||
Debt Instrument [Line Items] | ||
Long-term borrowings | $ 399,278 | $ 399,169 |
Stated rate | 2.64% |
LONG-TERM DEBT - Maturities (De
LONG-TERM DEBT - Maturities (Details) $ in Thousands | Dec. 31, 2016USD ($) |
Long-term Debt, Fiscal Year Maturity [Abstract] | |
2,016 | $ 814,388 |
2,017 | 2,746,011 |
2,018 | 638,089 |
2,019 | 1,383,919 |
2,020 | 1,042,187 |
Thereafter | 1,757,958 |
Long-term Debt, Gross | 8,382,552 |
Parent Company | Senior Notes | |
Long-term Debt, Fiscal Year Maturity [Abstract] | |
2,016 | 0 |
2,017 | 400,000 |
2,018 | 0 |
2,019 | 0 |
2,020 | 1,000,000 |
Thereafter | 1,000,000 |
Long-term Debt, Gross | 2,400,000 |
Parent Company | Subordinated Notes | |
Long-term Debt, Fiscal Year Maturity [Abstract] | |
2,016 | 0 |
2,017 | 0 |
2,018 | 0 |
2,019 | 300,000 |
2,020 | 0 |
Thereafter | 503,463 |
Long-term Debt, Gross | 803,463 |
Bank | Senior Notes | |
Long-term Debt, Fiscal Year Maturity [Abstract] | |
2,016 | 750,000 |
2,017 | 2,135,000 |
2,018 | 500,000 |
2,019 | 1,000,000 |
2,020 | 0 |
Thereafter | 0 |
Long-term Debt, Gross | 4,385,000 |
Bank | Subordinated Notes | |
Long-term Debt, Fiscal Year Maturity [Abstract] | |
2,016 | 0 |
2,017 | 125,539 |
2,018 | 75,716 |
2,019 | 0 |
2,020 | 0 |
Thereafter | 250,000 |
Long-term Debt, Gross | 451,255 |
Bank | Federal Home Loan Bank advances | |
Long-term Debt, Fiscal Year Maturity [Abstract] | |
2,016 | 100 |
2,017 | 1,115 |
2,018 | 325 |
2,019 | 2,368 |
2,020 | 0 |
Thereafter | 3,769 |
Long-term Debt, Gross | 7,677 |
Bank | Other borrowings | |
Long-term Debt, Fiscal Year Maturity [Abstract] | |
2,016 | 64,288 |
2,017 | 84,357 |
2,018 | 62,048 |
2,019 | 81,551 |
2,020 | 42,187 |
Thereafter | 726 |
Long-term Debt, Gross | $ 335,157 |
LONG-TERM DEBT - Narrative (Det
LONG-TERM DEBT - Narrative (Details) | Mar. 31, 2015securitization | Nov. 30, 2015USD ($) | Feb. 28, 2015USD ($) | Apr. 30, 2014 | Dec. 31, 2016USD ($) | Aug. 16, 2016USD ($) | Aug. 09, 2016USD ($) | Mar. 14, 2016USD ($) | Dec. 31, 2015USD ($) | Aug. 31, 2015USD ($) |
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 8,309,159,000 | $ 7,041,364,000 | ||||||||
Senior Notes | Senior Notes Due 2022 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt face amount | $ 1,000,000,000 | |||||||||
Debt percent of value issued | 99.849% | |||||||||
Stated rate | 2.30% | |||||||||
Debt Issuance Costs, Net | $ 5,000,000 | |||||||||
Senior Notes | Three point One Five Percent Senior notes Due March 2021 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt face amount | $ 1,000,000,000 | |||||||||
Debt percent of value issued | 99.803% | |||||||||
Stated rate | 3.15% | |||||||||
Debt Issuance Costs, Net | $ 5,000,000 | |||||||||
Subordinated Notes | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | 4,821,846,000 | 5,540,135,000 | ||||||||
Other borrowings | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | 335,158,000 | $ 452,448,000 | ||||||||
Other borrowings | HTF Non-recourse Debt, Effective Rate 3.20% | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Effective rate | 3.20% | |||||||||
Long-term debt | $ 293,400,000 | |||||||||
Other borrowings | HTF Non-recourse Debt, Effective Rate 1.70% | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Effective rate | 1.70% | |||||||||
Long-term debt | $ 255,000,000 | |||||||||
Debt assumed number of securitizations | securitization | 2 | |||||||||
Parent Company | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | 3,144,615,000 | 1,040,981,000 | ||||||||
Parent Company | Subordinated Notes | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term debt | $ 248,156,000 | 0 | ||||||||
Parent Company | Subordinated Notes | Huntington Capital II Trust Preferred 1.14% junior subordinated debentures due 2028 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Effective rate | 1.14% | |||||||||
Long-term debt | $ 31,576,000 | 54,030,000 | ||||||||
Parent Company | Subordinated Notes | Huntington Capital II Trust Preferred 1.14% junior subordinated debentures due 2028 | Three-month LIBOR | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Basis spread on variable rate | 0.625% | |||||||||
Bank | Senior Notes | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt percent of value issued | 99.87% | |||||||||
Bank | Senior Notes | Senior Notes Due November 6, 2018 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt face amount | $ 850,000,000 | |||||||||
Debt percent of value issued | 99.88% | |||||||||
Stated rate | 2.20% | |||||||||
Bank | Senior Notes | Senior Notes Due November 6, 2018 | One month prior to maturity date | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Redemption price percentage | 100.00% | |||||||||
Bank | Senior Notes | Senior Notes Due August 20, 2020 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt face amount | $ 500,000,000 | |||||||||
Debt percent of value issued | 99.58% | |||||||||
Stated rate | 2.88% | |||||||||
Bank | Senior Notes | Senior Notes Due June 30, 2018 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt face amount | $ 750,000,000 | |||||||||
Debt percent of value issued | 99.71% | |||||||||
Stated rate | 2.00% | |||||||||
Bank | Senior Notes | Senior Notes Due February 2018 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt face amount | $ 500,000,000 | |||||||||
Debt percent of value issued | 99.86% | |||||||||
Effective rate | 1.70% | |||||||||
Bank | Senior Notes | Senior Notes Due February 2018 | One month prior to maturity date | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Redemption price percentage | 100.00% | |||||||||
Bank | Senior Notes | Senior Notes Due April 1, 2020 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt face amount | $ 500,000,000 | |||||||||
Stated rate | 2.40% | |||||||||
Redemption price percentage | 100.00% | |||||||||
Bank | Senior Notes | Senior Notes Due April 24, 2017, Variable Rate | One month prior to maturity date | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Redemption price percentage | 100.00% | |||||||||
FirstMerit Bank | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term Debt | $ 519,971,000 | |||||||||
FirstMerit Bank | Subordinated Notes | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term Debt | $ 520,000,000 |
OTHER COMPREHENSIVE INCOME - Ac
OTHER COMPREHENSIVE INCOME - Activity/Roll Forward (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Pretax | |||
Noncredit-related impairment recoveries (losses) on debt securities not expected to be sold | $ 905 | $ 19,606 | $ 13,583 |
Unrealized gains (losses) on derivatives used in cash flow hedging relationships arising during the period | 2,381 | 12,966 | 14,141 |
Less: Reclassification adjustment for net (gains) losses included in net income | (360) | (220) | (3,971) |
Net change in unrealized gains (losses) on derivatives used in cash flow hedging relationships | 2,021 | 12,746 | 10,170 |
Net change in pension and post-retirement obligations | (38,218) | 7,795 | 106,857 |
Total other comprehensive income (loss), pretax | (268,878) | (5,839) | (11,750) |
Tax (Expense) Benefit | |||
Noncredit-related impairment recoveries (losses) on debt securities not expected to be sold | (320) | (6,933) | (4,803) |
Unrealized gains (losses) on derivatives used in cash flow hedging relationships arising during the period | (833) | (4,538) | (4,949) |
Less: Reclassification adjustment for net (gains) losses included in net income | 126 | 77 | 1,390 |
Net change in unrealized gains (losses) on derivatives used in cash flow hedging relationships | (707) | (4,461) | (3,559) |
Net change in pension and other post-retirement obligations | (13,376) | 2,728 | 37,400 |
Total other comprehensive income (loss) | 94,020 | 1,973 | 3,467 |
After-tax | |||
Noncredit-related impairment recoveries (losses) on debt securities not expected to be sold | 585 | 12,673 | 8,780 |
Net change in unrealized holding gains (losses) on available-for-sale debt/equity securities | (201,599) | (19,757) | 45,783 |
Unrealized gains and losses on derivatives used in cash flow hedging relationships arising during the period | 1,548 | 8,428 | 9,192 |
Less: Reclassification adjustment for net losses (gains) losses included in net income | (234) | (143) | (2,581) |
Net change in unrealized gains (losses) on derivatives used in cash flow hedging relationships | 1,314 | 8,285 | 6,611 |
Net change in pension and post-retirement obligations | 24,842 | (5,067) | (69,457) |
Other comprehensive loss, net of tax | (174,858) | (3,866) | (8,283) |
Equity securities | |||
Pretax | |||
Net change in unrealized holding gains (losses) on available-for-sale debt/equity securities | 171 | (474) | 295 |
Tax (Expense) Benefit | |||
Net change in unrealized holding gains (losses) on available-for-sale debt/equity securities | (60) | 166 | (103) |
After-tax | |||
Net change in unrealized holding gains (losses) on available-for-sale debt/equity securities | 111 | (308) | 192 |
Debt securities | |||
Pretax | |||
Unrealized holding gains (losses) on available-for-sale debt securities arising during the period | (203,048) | (26,021) | 86,618 |
Less: Reclassification adjustment for net losses (gains) included in net income | (107,145) | (3,901) | (15,559) |
Net change in unrealized holding gains (losses) on available-for-sale debt/equity securities | (309,288) | (10,316) | 84,642 |
Tax (Expense) Benefit | |||
Unrealized holding gains (losses) on available-for-sale debt securities arising during the period | 70,599 | 9,108 | (30,914) |
Less: Reclassification adjustment for net losses (gains) included in net income | 37,884 | 1,365 | 5,446 |
Net change in unrealized holding gains (losses) on available-for-sale debt/equity securities | 108,163 | 3,540 | (30,271) |
After-tax | |||
Unrealized holding gains (losses) on available-for-sale debt securities arising during the period | (132,449) | (16,913) | 55,704 |
Less: Reclassification adjustment for net gains (losses) included in net income | (69,261) | (2,536) | (10,113) |
Net change in unrealized holding gains (losses) on available-for-sale debt/equity securities | $ (201,125) | $ (6,776) | $ 54,371 |
OTHER COMPREHENSIVE INCOME - AO
OTHER COMPREHENSIVE INCOME - AOCI Roll Forward (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | $ 6,594,606 | $ 6,328,170 | $ 6,090,153 |
Other comprehensive income before reclassifications | (130,205) | 3,880 | |
Amounts reclassified from accumulated OCI to earnings | (44,653) | (7,746) | |
Period change | (174,858) | (3,866) | |
Ending balance | 10,308,146 | 6,594,606 | 6,328,170 |
AOCI attributable to parent | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (226,158) | (222,292) | (214,009) |
Ending balance | (401,016) | (226,158) | (222,292) |
Unrealized gains and (losses) on securities | Debt securities | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | 8,361 | 15,137 | |
Other comprehensive income before reclassifications | (131,864) | (4,240) | |
Amounts reclassified from accumulated OCI to earnings | (69,261) | (2,536) | |
Period change | (201,125) | (6,776) | |
Ending balance | (192,764) | 8,361 | 15,137 |
Unrealized gains and (losses) on securities | Equity securities | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | 176 | 484 | |
Other comprehensive income before reclassifications | 111 | (308) | |
Amounts reclassified from accumulated OCI to earnings | 0 | 0 | |
Period change | 111 | (308) | |
Ending balance | 287 | 176 | 484 |
Unrealized gains and (losses) on cash flow hedging derivatives | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (3,948) | (12,233) | |
Other comprehensive income before reclassifications | 1,548 | 8,428 | |
Amounts reclassified from accumulated OCI to earnings | (234) | (143) | |
Period change | 1,314 | 8,285 | |
Ending balance | (2,634) | (3,948) | (12,233) |
Unrealized gains (losses) for pension and other post- retirement obligations | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (230,747) | (225,680) | |
Other comprehensive income before reclassifications | 0 | 0 | |
Amounts reclassified from accumulated OCI to earnings | 24,842 | (5,067) | |
Period change | 24,842 | (5,067) | |
Ending balance | (205,905) | (230,747) | $ (225,680) |
Reclassification out of Accumulated Other Comprehensive Income | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Transferred from AFS to HTM | (82,000) | ||
Reclassification out of Accumulated Other Comprehensive Income | Unrealized gains and (losses) on securities | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Amounts reclassified from accumulated OCI to earnings | (69,261) | (2,536) | |
Reclassification out of Accumulated Other Comprehensive Income | Unrealized gains and (losses) on cash flow hedging derivatives | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Amounts reclassified from accumulated OCI to earnings | (234) | (143) | |
Reclassification out of Accumulated Other Comprehensive Income | Unrealized gains (losses) for pension and other post- retirement obligations | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Amounts reclassified from accumulated OCI to earnings | $ 24,842 | $ (5,067) |
OTHER COMPREHENSIVE INCOME - Re
OTHER COMPREHENSIVE INCOME - Reclassifications (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Interest income—held-to-maturity securities—taxable | $ 138,312 | $ 86,614 | $ 88,724 |
Noninterest income—net gains (losses) on sale of securities, realized gain (loss) on sale | 2,035 | 3,184 | 17,554 |
Noninterest income—net gains (losses) on sale of securities, OTTI | (2,119) | (2,440) | 0 |
Interest income - loans and leases | 2,178,044 | 1,759,525 | 1,674,563 |
Noninterest income - other income | 129,317 | 132,714 | 126,004 |
Noninterest expense—personnel costs | 1,349,124 | 1,122,182 | $ 1,048,775 |
Net of tax | 44,653 | 7,746 | |
Unrealized gains and (losses) on cash flow hedging derivatives | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Net of tax | 234 | 143 | |
Unrealized gains (losses) for pension and other post- retirement obligations | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Net of tax | (24,842) | 5,067 | |
Reclassification out of Accumulated Other Comprehensive Income | Unrealized gains and (losses) on securities | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Interest income—held-to-maturity securities—taxable | 91,058 | (144) | |
Noninterest income—net gains (losses) on sale of securities, realized gain (loss) on sale | 18,206 | 6,485 | |
Noninterest income—net gains (losses) on sale of securities, OTTI | (2,119) | (2,440) | |
Total before tax | 107,145 | 3,901 | |
Tax (expense) benefit | (37,884) | (1,365) | |
Net of tax | 69,261 | 2,536 | |
Reclassification out of Accumulated Other Comprehensive Income | Unrealized gains and (losses) on cash flow hedging derivatives | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Total before tax | 360 | 220 | |
Tax (expense) benefit | (126) | (77) | |
Net of tax | 234 | 143 | |
Reclassification out of Accumulated Other Comprehensive Income | Unrealized gains and (losses) on cash flow hedging derivatives | Interest Rate Contract | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Interest income - loans and leases | 361 | 210 | |
Noninterest income - other income | (1) | 10 | |
Reclassification out of Accumulated Other Comprehensive Income | Unrealized gains (losses) for pension and other post- retirement obligations | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Total before tax | (38,218) | 7,795 | |
Tax (expense) benefit | 13,376 | (2,728) | |
Net of tax | (24,842) | 5,067 | |
Reclassification out of Accumulated Other Comprehensive Income | Actuarial gains (losses) | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Noninterest expense—personnel costs | (40,186) | 5,827 | |
Reclassification out of Accumulated Other Comprehensive Income | Net periodic benefit costs | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Noninterest expense—personnel costs | $ 1,968 | $ 1,968 |
SHAREHOLDERS' EQUITY - Preferre
SHAREHOLDERS' EQUITY - Preferred Stock Issued and Outstanding (Details) | Aug. 16, 2016USD ($)$ / shares | Mar. 14, 2016USD ($)$ / shares | Dec. 31, 2016USD ($)shares | Mar. 31, 2012 | Jun. 30, 2016USD ($)shares | Dec. 31, 2016USD ($)shares | Dec. 31, 2008$ / sharesshares | May 05, 2016USD ($) | Dec. 31, 2015shares |
Class of Stock [Line Items] | |||||||||
Preferred Stock, Shares Outstanding | shares | 1,098,006 | 1,098,006 | 398,006 | ||||||
Preferred Stock, Value, Outstanding | $ | $ 1,071,227,000 | $ 1,071,227,000 | |||||||
Stock issued value | $ | $ 584,936,000 | ||||||||
Depositary Shares, Issued | shares | 24,000,000 | ||||||||
Series A Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Preferred Stock, Shares Outstanding | shares | 362,506 | 362,506 | |||||||
Preferred Stock, Value, Outstanding | $ | $ 362,506,000 | $ 362,506,000 | |||||||
Preferred stock, dividend percentage | .0850 | ||||||||
Number of shares issued for each share of convertible preferred stock | shares | 83.668 | ||||||||
Conversion price (in dollars per share) | $ / shares | $ 11.95 | ||||||||
Convertible preferred stock, threshold percentage of stock price trigger | 130.00% | ||||||||
Convertible preferred stock, threshold consecutive trading days | 30 days | ||||||||
Convertible preferred stock, shares converted | shares | 1 | ||||||||
Series B Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Preferred Stock, Shares Outstanding | shares | 35,500 | 35,500 | |||||||
Preferred Stock, Value, Outstanding | $ | $ 23,785,000 | $ 23,785,000 | |||||||
Preferred stock, dividend percentage | 3-mo. LIBOR + 270 bps | ||||||||
Preferred Stock, Redemption Date | Jan. 15, 2017 | ||||||||
Depository share, percent interest in preferred stock | 0.025 | ||||||||
Series D Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Preferred Stock, Shares Outstanding | shares | 400,000 | 400,000 | |||||||
Preferred Stock, Value, Outstanding | $ | $ 386,348,000 | $ 386,348,000 | |||||||
Stock issued value | $ | $ 584,936,000 | ||||||||
Preferred stock, dividend percentage | .0625 | ||||||||
Preferred Stock, Redemption Date | Jul. 15, 2021 | ||||||||
Preferred Stock, Par or Stated Value Per Share | $ / shares | $ 0.01 | ||||||||
Preferred stock, liquidation preference per share (in dollars per share) | $ / shares | 1,000 | ||||||||
Depositary Shares, Liquidation Preference Per Share | $ / shares | $ 25 | ||||||||
Payments of Stock Issuance Costs | $ | $ 15,000,000 | ||||||||
Preferred Stock, Redemption Period | 90 days | ||||||||
Preferred Stock, Value, Issued | $ | $ 100,000,000 | $ 400,000,000 | $ 200,000,000 | ||||||
Depositary Shares, Issued | shares | 4,000,000 | ||||||||
Preferred Stock, Dividend Rate, Percentage | 6.25% | ||||||||
Series D Preferred Stock2 | |||||||||
Class of Stock [Line Items] | |||||||||
Preferred Stock, Shares Outstanding | shares | 200,000 | 200,000 | |||||||
Preferred Stock, Value, Outstanding | $ | $ 198,588,000 | $ 198,588,000 | |||||||
Series C Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Preferred Stock, Shares Outstanding | shares | 100,000 | 100,000 | |||||||
Preferred Stock, Value, Outstanding | $ | $ 100,000,000 | $ 100,000,000 | |||||||
Preferred stock, dividend percentage | .05875 | ||||||||
Preferred Stock, Redemption Date | Jan. 15, 2022 | ||||||||
Preferred Stock, Par or Stated Value Per Share | $ / shares | $ 0.01 | ||||||||
Preferred stock, liquidation preference per share (in dollars per share) | $ / shares | 1,000 | ||||||||
Depositary Shares, Liquidation Preference Per Share | $ / shares | $ 25 | ||||||||
Preferred Stock, Redemption Period | 90 days | ||||||||
Preferred Stock, Dividend Rate, Percentage | 5.875% |
SHAREHOLDERS' EQUITY - Share Re
SHAREHOLDERS' EQUITY - Share Repurchase Program (Details) - $ / shares | Jun. 29, 2016 | Dec. 31, 2015 |
Equity, Class of Treasury Stock [Line Items] | ||
Increase in Dividends, Per Share | $ 0.08 | |
2015 Share Repurchase Program | ||
Equity, Class of Treasury Stock [Line Items] | ||
Common Stock Repurchased And Retired Average Cost Per Share | $ 10.93 |
EARNINGS PER SHARE (Details)
EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Basic earnings per common share: | |||||||||||
Net income | $ 238,963 | $ 127,004 | $ 174,540 | $ 171,314 | $ 178,309 | $ 152,588 | $ 196,206 | $ 165,854 | $ 711,821 | $ 692,957 | $ 632,392 |
Preferred stock dividends | (18,865) | (18,537) | (19,874) | (7,998) | (7,972) | (7,968) | (7,968) | (7,965) | (65,274) | (31,873) | (31,854) |
Net income available to common shareholders | $ 220,098 | $ 108,467 | $ 154,666 | $ 163,316 | $ 170,337 | $ 144,620 | $ 188,238 | $ 157,889 | $ 646,547 | $ 661,084 | $ 600,538 |
Average common shares issued and outstanding (in shares) | 904,438 | 803,412 | 819,917 | ||||||||
Basic earnings per common share (in USD per share) | $ 0.20 | $ 0.12 | $ 0.19 | $ 0.21 | $ 0.21 | $ 0.18 | $ 0.23 | $ 0.19 | $ 0.72 | $ 0.82 | $ 0.73 |
Diluted earnings per common share | |||||||||||
Net income available to common shareholders | $ 220,098 | $ 108,467 | $ 154,666 | $ 163,316 | $ 170,337 | $ 144,620 | $ 188,238 | $ 157,889 | $ 646,547 | $ 661,084 | $ 600,538 |
Effect of assumed preferred stock conversion | 0 | 0 | 0 | ||||||||
Net income applicable to diluted earnings per share | $ 646,547 | $ 661,084 | $ 600,538 | ||||||||
Dilutive potential common shares: | |||||||||||
Stock options and restricted stock units and awards (in shares) | 11,728 | 11,633 | 11,421 | ||||||||
Shares held in deferred compensation plans (in shares) | 2,486 | 1,912 | 1,420 | ||||||||
Other (in shares) | 138 | 172 | 323 | ||||||||
Dilutive potential common shares: (in shares) | 14,352 | 13,717 | 13,164 | ||||||||
Total diluted average common shares issued and outstanding (in shares) | 918,790 | 817,129 | 833,081 | ||||||||
Diluted earnings per common share (in USD per share) | $ 0.20 | $ 0.11 | $ 0.19 | $ 0.20 | $ 0.21 | $ 0.18 | $ 0.23 | $ 0.19 | $ 0.70 | $ 0.81 | $ 0.72 |
Stock Option | |||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||
Options outstanding to purchase common stock shares having antidilutive effect (in shares) | 3,000 | 1,600 | 3,000 |
SHARE-BASED COMPENSATION - Narr
SHARE-BASED COMPENSATION - Narrative (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares authorized | 30 | ||
Shares available for grant | 16 | ||
Cash received for exercises of stock options | $ 14 | $ 26 | $ 21 |
Tax benefit realized from stock option exercises | $ 3 | $ 7 | $ 4 |
Granted (in USD per share) | $ 9.59 | $ 10.86 | $ 9.09 |
Total fair value of awards vested | $ 31 | $ 30 | $ 26 |
Stock Option | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period | 4 years | ||
Total unrecognized compensation cost related to nonvested awards | $ 81 | ||
Cost not yet recognized period for recognition | 2 years 4 months | ||
Stock Option | Prior to May 2004 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Awards expiration period | 10 years | ||
Stock Option | After May 2004 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Awards expiration period | 7 years | ||
Performance Share Awards | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period | 3 years | ||
Granted (in USD per share) | $ 9.04 |
SHARE-BASED COMPENSATION - Sche
SHARE-BASED COMPENSATION - Schedule of Assumptions (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Assumptions | |||
Risk-free interest rate | 1.63% | 2.13% | 1.69% |
Expected dividend yield | 3.18% | 2.57% | 2.61% |
Expected volatility of Huntington’s common stock | 30.00% | 29.00% | 32.30% |
Expected option term (years) | 6 years 6 months | 5 years | 5 years 6 months |
Weighted-average grant date fair value per share | $ 2.17 | $ 2.57 | $ 2.13 |
SHARE-BASED COMPENSATION - Shar
SHARE-BASED COMPENSATION - Share-Based Compensation Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Share-based compensation expense | $ 65,608 | $ 51,415 | $ 43,666 |
Tax benefit | $ 22,496 | $ 17,618 | $ 14,779 |
SHARE-BASED COMPENSATION - S116
SHARE-BASED COMPENSATION - Schedule of Stock Option Activity (Details) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($)$ / sharesshares | |
Options (in shares): | |
Outstanding at beginning of period (in shares) | 16,121 |
Granted (in shares) | 1,596 |
Exercised (in shares) | (2,372) |
Forfeited'expired (in shares) | (471) |
Outstanding at end of period (in shares) | 14,874 |
Expected to vest at end of period (in shares) | 3,656 |
Exercisable at end of period (in shares) | 10,985 |
Weighted- Average Exercise Price (USD per share): | |
Outstanding at beginning of period (USD per share) | $ / shares | $ 7.25 |
Granted (USD per share) | $ / shares | 10.06 |
Exercised (USD per share) | $ / shares | 5.90 |
Forfeited or expired (USD per share) | $ / shares | 15.73 |
Outstanding at end of period (USD per share) | $ / shares | 7.50 |
Vested and expected to vest (USD per share) | $ / shares | 9.59 |
Exercisable (USD per share) | $ / shares | $ 6.75 |
Weighted-Average Remaining Contractual Life (Years)/Aggregate Intrinsic Value | |
Outstanding, weighted-average remaining contractual life (years) | 3 years 7 months |
Expected to vest, weighted-average remaining contractual period (years) | 7 years 1 month |
Exercisable, weighted-average remaining contractual term (years) | 2 years 5 months |
Outstanding aggregate intrinsic value | $ | $ 85,159 |
Expected to vest, aggregate intrinsic value | $ | 13,267 |
Exercisable, aggregate intrinsic value | $ | $ 71,114 |
Expected to be forfeited (in shares) | 233 |
SHARE-BASED COMPENSATION - Opti
SHARE-BASED COMPENSATION - Options by Exercise Price (Details) | 12 Months Ended |
Dec. 31, 2016$ / shares | |
$0 to $5.63 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Exercise price range, lower range limit (USD per share) | $ 0 |
Exercise price range, upper range limit (USD per share) | $ 5.63 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, End of Period [Abstract] | |
Outstanding options, weighted-average remaining contractual life (in years) | 1 year 2 months |
$5.64 to $6.02 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Exercise price range, lower range limit (USD per share) | $ 5.64 |
Exercise price range, upper range limit (USD per share) | $ 6.02 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, End of Period [Abstract] | |
Outstanding options, weighted-average remaining contractual life (in years) | 2 years 7 months |
$6.03 to $15.95 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Exercise price range, lower range limit (USD per share) | $ 6.03 |
Exercise price range, upper range limit (USD per share) | $ 15.95 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, End of Period [Abstract] | |
Outstanding options, weighted-average remaining contractual life (in years) | 4 years 7 months |
$15.96 and over | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Exercise price range, lower range limit (USD per share) | $ 15.96 |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, End of Period [Abstract] | |
Outstanding options, weighted-average remaining contractual life (in years) | 3 months |
SHARE-BASED COMPENSATION - Rest
SHARE-BASED COMPENSATION - Restricted Stock, RSUs, Performance Shares (Details) - $ / shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Weighted-Average Grant Date Fair Value Per Share (USD per share): | |||
Granted (in USD per share) | $ 9.59 | $ 10.86 | $ 9.09 |
Restricted Stock Awards | |||
Shares: | |||
Nonvested at beginning of period (in shares) | 7 | ||
Granted (in shares) | 0 | ||
Assumed (in shares) | 916 | ||
Vested (in shares) | (241) | ||
Forfeited (in shares) | (26) | ||
Nonvested at end of period (in shares) | 656 | 7 | |
Weighted-Average Grant Date Fair Value Per Share (USD per share): | |||
Nonvested at beginning of period (in USD per share) | $ 9.53 | ||
Granted (in USD per share) | 0 | ||
Assumed (in USD per share) | 9.68 | ||
Vested (in USD per share) | 9.68 | ||
Forfeited (in USD per share) | 9.68 | ||
Nonvested at end of period (in USD per share) | $ 9.68 | $ 9.53 | |
Restricted Stock Units | |||
Shares: | |||
Nonvested at beginning of period (in shares) | 12,170 | ||
Granted (in shares) | 6,526 | ||
Assumed (in shares) | 0 | ||
Vested (in shares) | (3,142) | ||
Forfeited (in shares) | (821) | ||
Nonvested at end of period (in shares) | 14,733 | 12,170 | |
Weighted-Average Grant Date Fair Value Per Share (USD per share): | |||
Nonvested at beginning of period (in USD per share) | $ 9.11 | ||
Granted (in USD per share) | 9.69 | ||
Assumed (in USD per share) | 0 | ||
Vested (in USD per share) | 7.91 | ||
Forfeited (in USD per share) | 9.52 | ||
Nonvested at end of period (in USD per share) | $ 9.61 | $ 9.11 | |
Performance Share Awards | |||
Shares: | |||
Nonvested at beginning of period (in shares) | 2,893 | ||
Granted (in shares) | 981 | ||
Assumed (in shares) | 807 | ||
Vested (in shares) | (1,307) | ||
Forfeited (in shares) | (67) | ||
Nonvested at end of period (in shares) | 3,307 | 2,893 | |
Weighted-Average Grant Date Fair Value Per Share (USD per share): | |||
Nonvested at beginning of period (in USD per share) | $ 8.99 | ||
Granted (in USD per share) | 9.04 | ||
Assumed (in USD per share) | 9.68 | ||
Vested (in USD per share) | 8.05 | ||
Forfeited (in USD per share) | 9.78 | ||
Nonvested at end of period (in USD per share) | $ 9.63 | $ 8.99 |
BENEFIT PLANS - Narrative (Deta
BENEFIT PLANS - Narrative (Details) | 12 Months Ended | |||
Dec. 31, 2016USD ($)age | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Aug. 16, 2016USD ($) | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | $ 745,725,000 | $ 594,217,000 | ||
Employer Contributions | 150,000,000 | |||
Amount to be Amortized from Accumulated Other Comprehensive Income (Loss) Next Fiscal Year: | ||||
Future amortization of transition obligation (asset) | 0 | |||
Future amortization of prior service cost (credit) | 2,000,000 | |||
Future amortization gain (loss) | $ 7,000,000 | |||
Defined Contribution Plan: | ||||
Employer matching contribution, percent of match | 4.00% | |||
Discretionary profit-share contribution, percent of annual base pay | 1.00% | 1.00% | ||
Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | $ 745,725,000 | $ 594,217,000 | $ 653,013,000 | |
Employer Contributions | 150,000,000 | 0 | ||
Accumulated benefit obligation | 736,000,000 | 755,000,000 | ||
Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets: | ||||
Accumulated benefit obligations in excess of plan assets, aggregate projected benefit obligation | 9,000,000 | |||
Defined benefit plan expenses | 2,000,000 | 4,000,000 | 2,000,000 | |
Estimated net periodic pension cost in next fiscal year | $ 14,000,000 | |||
Defined Benefit Plan, Information about Plan Assets: | ||||
Average duration of plan assets investment in bonds, years | 14 years 2 months 3 days | |||
Estimated life of benefit obligations | 12 years 8 months | |||
Pension Benefits | Equity securities | ||||
Defined Benefit Plan, Information about Plan Assets: | ||||
Actual plan asset allocations | 44.00% | |||
Target plan asset allocations range minimum | 20.00% | |||
Target plan asset allocations range maximum | 50.00% | |||
Pension Benefits | Bonds | ||||
Defined Benefit Plan, Information about Plan Assets: | ||||
Actual plan asset allocations | 54.00% | |||
Target plan asset allocations range minimum | 50.00% | |||
Target plan asset allocations range maximum | 80.00% | |||
Pension Benefits | Cash and cash equivalents | ||||
Defined Benefit Plan, Information about Plan Assets: | ||||
Actual plan asset allocations | 2.00% | |||
Post-Retirement Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Healthcare and life insurance benefits, employee retirement age | age | 55 | |||
Healthcare and life insurance benefits, requisite service period | 10 years | |||
Life insurance coverage, maximum | $ 50,000 | |||
Reduction in liability due to plan amendment | 5,000,000 | |||
Defined Benefit Plan, Information about Plan Assets: | ||||
Estimated future employer contributions in next fiscal year | $ 0 | |||
Defined Benefit Plan, Assumed Health Care Cost Trend Rates: | ||||
Health care cost trend rate assumed for next fiscal year | 6.80% | |||
Ultimate health care cost trend rate | 4.50% | |||
Year that rate reaches ultimate trend rate | 2,028 | |||
Supplemental Executive Retirement Plan | ||||
Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets: | ||||
Defined benefit plan expenses | $ 1,000,000 | 1,000,000 | $ 1,000,000 | |
Defined Benefit Plan, Assumed Health Care Cost Trend Rates: | ||||
Accrued pension liability | $ 33,000,000 | $ 34,000,000 | ||
FirstMerit Bank | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets | $ 280,000,000 |
BENEFIT PLANS - Weighted Averag
BENEFIT PLANS - Weighted Average Assumptions (Details) | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Dec. 31, 2015 | Sep. 30, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | |
Pension Benefits | ||||
Weighted-average assumptions used to determine benefit obligations | ||||
Discount rate | 4.54% | 4.38% | 4.54% | |
Weighted-average assumptions used to determine net periodic benefit cost | ||||
Discount Rate | 4.54% | 4.12% | ||
Long-term Return on Assets | 6.75% | 7.00% | ||
Post-Retirement Benefits | ||||
Weighted-average assumptions used to determine benefit obligations | ||||
Discount rate | 3.81% | 3.64% | 3.81% | |
Weighted-average assumptions used to determine net periodic benefit cost | ||||
Discount Rate | 3.77% | 3.72% | 3.81% | 3.73% |
BENEFIT PLANS - Projected Benef
BENEFIT PLANS - Projected Benefit Obligation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Pension Benefits | |||
Change in Benefit Obligation [Roll Forward] | |||
Projected benefit obligation at beginning of measurement year | $ 754,714 | $ 799,594 | |
Service cost | 4,100 | 1,830 | $ 1,740 |
Interest cost | 26,992 | 31,937 | 32,398 |
Benefits paid | (18,306) | (17,246) | |
Settlements | (21,684) | (27,976) | |
Medicare subsidies | 0 | 0 | |
Actuarial assumptions and gains and losses | (9,470) | (33,425) | |
Total changes | (18,368) | (44,880) | |
Projected benefit obligation at end of measurement year | 736,346 | 754,714 | 799,594 |
Post-Retirement Benefits | |||
Change in Benefit Obligation [Roll Forward] | |||
Projected benefit obligation at beginning of measurement year | 8,025 | 15,963 | |
Service cost | 0 | 0 | 0 |
Interest cost | 219 | 506 | 856 |
Benefits paid | (1,915) | (2,211) | |
Settlements | 0 | (6,993) | |
Medicare subsidies | 0 | 117 | |
Actuarial assumptions and gains and losses | 963 | 643 | |
Total changes | (733) | (7,938) | |
Projected benefit obligation at end of measurement year | $ 7,292 | $ 8,025 | $ 15,963 |
BENEFIT PLANS - Fair Value of P
BENEFIT PLANS - Fair Value of Plan Assets (Details 1) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Change in Fair Value of Plan Assets [Abstract] | ||
Fair value of plan assets at beginning of measurement year | $ 594,217 | |
Employer Contributions | 150,000 | |
Fair value of plan assets at end of measurement year | 745,725 | $ 594,217 |
Pension Benefits | ||
Change in Fair Value of Plan Assets [Abstract] | ||
Fair value of plan assets at beginning of measurement year | 594,217 | 653,013 |
Actual return on plan assets | 39,895 | (16,122) |
Employer Contributions | 150,000 | 0 |
Settlements | (20,081) | (25,428) |
Benefits paid | (18,306) | (17,246) |
Total changes | 151,508 | (58,796) |
Fair value of plan assets at end of measurement year | $ 745,725 | $ 594,217 |
BENEFIT PLANS - Net Periodic Be
BENEFIT PLANS - Net Periodic Benefit Costs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Pension Benefits | |||
Components of net periodic benefit expense [Abstract] | |||
Service cost | $ 4,100 | $ 1,830 | $ 1,740 |
Interest cost | 26,992 | 31,937 | 32,398 |
Expected return on plan assets | (40,895) | (44,175) | (45,783) |
Amortization of prior service credit | 0 | 0 | 0 |
Amortization of (gain) / loss | 7,459 | 7,934 | 5,767 |
Settlements | 9,495 | 12,645 | 11,200 |
Benefit costs | 7,151 | 10,171 | 5,322 |
Post-Retirement Benefits | |||
Components of net periodic benefit expense [Abstract] | |||
Service cost | 0 | 0 | 0 |
Interest cost | 219 | 506 | 856 |
Expected return on plan assets | 0 | 0 | 0 |
Amortization of prior service credit | (1,968) | (1,968) | (1,609) |
Amortization of (gain) / loss | (288) | (401) | (571) |
Settlements | 0 | (3,090) | 0 |
Benefit costs | $ (2,037) | $ (4,953) | $ (1,324) |
BENEFIT PLANS - Fair Value o124
BENEFIT PLANS - Fair Value of Plan Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Aug. 16, 2016 | Dec. 31, 2015 |
Summary of plan assets investments | |||
Fair value of plan assets | $ 745,725 | $ 594,217 | |
Fair value of plan assets, Percentage | 100.00% | 100.00% | |
Federated-money market | |||
Summary of plan assets investments | |||
Fair value of plan assets | $ 16,087 | $ 15,590 | |
Fair value of plan assets, Percentage | 2.00% | 3.00% | |
Corporate obligations | |||
Summary of plan assets investments | |||
Fair value of plan assets | $ 212,967 | $ 205,081 | |
Fair value of plan assets, Percentage | 28.00% | 34.00% | |
U.S. Government Obligations | |||
Summary of plan assets investments | |||
Fair value of plan assets | $ 157,764 | $ 64,456 | |
Fair value of plan assets, Percentage | 21.00% | 11.00% | |
Mutual funds-fixed income | |||
Summary of plan assets investments | |||
Fair value of plan assets | $ 27,851 | $ 32,874 | |
Fair value of plan assets, Percentage | 4.00% | 6.00% | |
U.S. Government Agencies | |||
Summary of plan assets investments | |||
Fair value of plan assets | $ 7,201 | $ 6,979 | |
Fair value of plan assets, Percentage | 1.00% | 1.00% | |
Mutual funds-equities | |||
Summary of plan assets investments | |||
Fair value of plan assets | $ 134,832 | $ 136,026 | |
Fair value of plan assets, Percentage | 18.00% | 23.00% | |
Common stock | |||
Summary of plan assets investments | |||
Fair value of plan assets | $ 144,754 | $ 120,046 | |
Fair value of plan assets, Percentage | 19.00% | 20.00% | |
Preferred stock | |||
Summary of plan assets investments | |||
Fair value of plan assets | $ 4,778 | $ 0 | |
Fair value of plan assets, Percentage | 1.00% | 0.00% | |
Exchange Traded Funds | |||
Summary of plan assets investments | |||
Fair value of plan assets | $ 28,101 | $ 6,530 | |
Fair value of plan assets, Percentage | 4.00% | 1.00% | |
Limited Partnerships | |||
Summary of plan assets investments | |||
Fair value of plan assets | $ 11,390 | $ 6,635 | |
Fair value of plan assets, Percentage | 2.00% | 1.00% | |
FirstMerit Bank | |||
Summary of plan assets investments | |||
Fair value of plan assets | $ 280,000 |
BENEFIT PLANS - Expected Future
BENEFIT PLANS - Expected Future Benefit Payments (Details) $ in Thousands | Dec. 31, 2016USD ($) |
Pension Benefits | |
Estimated Future Benefit Payments [Abstract] | |
2,017 | $ 46,199 |
2,018 | 45,077 |
2,019 | 43,720 |
2,020 | 41,827 |
2,021 | 41,528 |
2022 through 2026 | 205,278 |
Post-Retirement Benefits | |
Estimated Future Benefit Payments [Abstract] | |
2,017 | 923 |
2,018 | 761 |
2,019 | 684 |
2,020 | 640 |
2,021 | 606 |
2022 through 2026 | $ 2,482 |
BENEFIT PLANS - Amounts Recogni
BENEFIT PLANS - Amounts Recognized in the Balance Sheet (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Compensation and Retirement Disclosure [Abstract] | ||
Current pension liability | $ 2,000 | |
Amounts Recognized in Balance Sheet [Abstract] | ||
Noncurrent liabilities | $ 169,657 | $ 192,734 |
BENEFIT PLANS - Amounts Reco127
BENEFIT PLANS - Amounts Recognized in AOCI (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Compensation and Retirement Disclosure [Abstract] | ||||
Net actuarial loss | $ (217,863) | $ (243,984) | $ (240,197) | |
Prior service cost | 11,958 | 13,237 | 14,517 | |
Defined benefit pension plans | $ (205,905) | $ (230,747) | $ (225,680) | $ (156,223) |
BENEFIT PLANS - Amounts Reco128
BENEFIT PLANS - Amounts Recognized in OCI (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Pretax Roll Forward: | |||
Balance, beginning of year | $ (354,997) | $ (347,202) | $ (240,345) |
Net actuarial (loss) gain: | |||
Amounts arising during the year | 37,818 | (25,520) | (133,085) |
Amortization included in net periodic benefit costs | 2,368 | 19,693 | 19,056 |
Prior service cost: | |||
Amounts arising during the year | 0 | 0 | 8,781 |
Amortization included in net periodic benefit costs | (1,968) | (1,968) | (1,609) |
Balance, end of year | (316,779) | (354,997) | (347,202) |
Tax Roll Forward: | |||
Balance, beginning of year | 124,250 | 121,522 | 84,122 |
Net actuarial (loss) gain: | |||
Amounts arising during the year | (13,236) | 8,931 | 46,580 |
Amortization included in net periodic benefit costs | (829) | (6,892) | (6,670) |
Prior service cost: | |||
Amounts arising during the year | 0 | 0 | (3,073) |
Amortization included in net periodic benefit costs | 689 | 689 | 563 |
Balance, end of year | 110,874 | 124,250 | 121,522 |
After-tax Roll Forward: | |||
Balance, beginning of year | (230,747) | (225,680) | (156,223) |
Net actuarial (loss) gain: | |||
Amounts arising during the year | 24,582 | (16,589) | (86,505) |
Amortization included in net periodic benefit costs | 1,539 | 12,801 | 12,386 |
Prior service cost: | |||
Amounts arising during the year | 0 | 0 | 5,708 |
Amortization included in net periodic benefit costs | (1,279) | (1,279) | (1,046) |
Balance, end of year | $ (205,905) | $ (230,747) | $ (225,680) |
BENEFIT PLANS - Defined Contrib
BENEFIT PLANS - Defined Contribution Plans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Compensation and Retirement Disclosure [Abstract] | |||
Defined contribution plan | $ 36,107 | $ 31,896 | $ 31,110 |
Shares in Huntington common stock (in shares) | 11,748,379 | 13,076,164 | |
Market value of Huntington common stock | $ 162,245 | $ 144,622 | |
Dividends received on shares of Huntington stock | $ 3,692 | $ 3,076 |
INCOME TAXES - Narrative (Detai
INCOME TAXES - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Operating Loss Carryforwards [Line Items] | |||
Unrecognized tax benefits | $ 23,761 | $ 23,104 | $ 1,172 |
Unrecognized tax benefit, interest expense (benefit) | 100 | $ 100 | |
Unrecognized tax benefit, interest accrued benefit | 100 | 100 | |
Net deferred tax asset, operating loss carryforwards | 217,000 | ||
Net deferred tax asset, operating loss carryforwards, domestic | 97,000 | ||
Net deferred tax asset, operating loss carryforwards, state and local | 44,000 | ||
Net deferred tax asset, alternative minimum tax carryforward | 73,000 | ||
Net deferred tax asset, general business credit carryforward | 3,000 | ||
Federal capital loss carryforward valuation allowance | 5,003 | 3,620 | |
Bad debt reserves with no federal income tax liability | 12,000 | ||
Unrecognized deferred tax liability from cumulative bad debt reduction | $ 4,000 | ||
Operating Loss Carryforward Federal | |||
Operating Loss Carryforwards [Line Items] | |||
Net deferred tax asset carryforward expiration date | Dec. 31, 2023 | ||
Operating Loss Carryforward State | |||
Operating Loss Carryforwards [Line Items] | |||
Net deferred tax asset carryforward expiration date | Dec. 31, 2017 | ||
Federal capital loss carryforward valuation allowance | $ 5,000 | $ 3,600 | |
General Business Tax Credit Carryforward | |||
Operating Loss Carryforwards [Line Items] | |||
Net deferred tax asset carryforward expiration date | Dec. 31, 2030 |
INCOME TAXES - Gross Unrecogniz
INCOME TAXES - Gross Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ||
Unrecognized tax benefits at beginning of period | $ 23,104 | $ 1,172 |
Gross increases for tax positions taken during current period | 657 | 23,104 |
Gross increases for tax positions taken during prior years | 0 | 0 |
Gross decreases for tax positions taken during prior years | 0 | (1,172) |
Unrecognized tax benefits at end of period | $ 23,761 | $ 23,104 |
INCOME TAXES - Provision (Benef
INCOME TAXES - Provision (Benefit) for Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Current tax provision (benefit) | |||||||||||
Federal | $ 39,738 | $ 146,195 | $ 186,436 | ||||||||
State | 3,456 | 5,677 | (1,017) | ||||||||
Total current tax provision (benefit) | 43,194 | 151,872 | 185,419 | ||||||||
Deferred tax provision (benefit) | |||||||||||
Federal | 160,610 | 66,823 | 41,167 | ||||||||
State | 4,137 | 1,953 | (5,993) | ||||||||
Total deferred tax provision (benefit) | 164,747 | 68,776 | 35,174 | ||||||||
Provision for income taxes | $ 73,952 | $ 24,749 | $ 54,283 | $ 54,957 | $ 55,583 | $ 47,002 | $ 64,057 | $ 54,006 | $ 207,941 | $ 220,648 | $ 220,593 |
INCOME TAXES - Effective Income
INCOME TAXES - Effective Income Tax Rate Reconciliation (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||||||||||
Provision for income taxes computed at the statutory rate | $ 321,925 | $ 319,762 | $ 298,545 | ||||||||
Increases (decreases): | |||||||||||
Tax-exempt income | (27,453) | (20,839) | (17,971) | ||||||||
Tax-exempt bank owned life insurance income | (20,149) | (18,340) | (19,967) | ||||||||
General business credits | (64,151) | (47,894) | (46,047) | ||||||||
State deferred tax asset valuation allowance adjustment, net | 0 | 0 | (7,430) | ||||||||
Capital loss | (45,500) | (46,288) | (26,948) | ||||||||
Affordable housing investment amortization, net of tax benefits | 36,848 | 31,741 | 33,752 | ||||||||
State income taxes, net | 4,936 | 4,960 | 2,873 | ||||||||
Other | 1,485 | (2,454) | 3,786 | ||||||||
Provision for income taxes | $ 73,952 | $ 24,749 | $ 54,283 | $ 54,957 | $ 55,583 | $ 47,002 | $ 64,057 | $ 54,006 | $ 207,941 | $ 220,648 | $ 220,593 |
INCOME TAXES - Deferred Tax Ass
INCOME TAXES - Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Deferred Tax Assets, Gross [Abstract] | ||
Allowances for credit losses | $ 254,977 | $ 238,415 |
Fair value adjustments | 216,768 | 121,642 |
Net operating and other loss carryforward | 140,842 | 61,492 |
Tax credit carryforward | 64,380 | 44,733 |
Accrued expense/prepaid | 0 | 41,917 |
Pension and other employee benefits | 22,514 | 21,614 |
Partnership investments | 8,295 | 11,781 |
Market discount | 34,921 | 2,405 |
Purchase accounting adjustments | 76,328 | 1,823 |
Other | 10,506 | 11,645 |
Total deferred tax assets | 829,531 | 557,467 |
Deferred tax liabilities: | ||
Lease financing | 325,091 | 261,078 |
Loan origination costs | 137,577 | 114,488 |
Purchase accounting adjustments | 51,440 | 48,514 |
Securities adjustments | 54,372 | 46,685 |
Operating assets | 55,786 | 19,952 |
Mortgage servicing rights | 74,371 | 6,944 |
Pension and other employee benefits | 0 | 0 |
Other | 8,796 | 5,463 |
Total deferred tax liabilities | 707,433 | 503,124 |
Net deferred tax asset before valuation allowance | 122,098 | 54,343 |
Valuation allowance | (5,003) | (3,620) |
Net deferred tax asset | $ 117,095 | $ 50,723 |
FAIR VALUES OF ASSETS AND LI135
FAIR VALUES OF ASSETS AND LIABILITIES - Narrative (Details) - Level 1 | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Percentage of available-for-sale and trading securities in Level 1 (less than) | 1.00% |
Percentage of available-for-sale and trading securities in Level 2 | 81.00% |
Percentage of available-for-sale and trading securities in Level 3 | 19.00% |
FAIR VALUES OF ASSETS AND LI136
FAIR VALUES OF ASSETS AND LIABILITIES - Recurring basis (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Aug. 16, 2016 | Dec. 31, 2015 |
Assets measured at fair value on a recurring basis | |||
Loans held for investment | $ 82,319 | $ 56,000 | $ 34,637 |
Trading account securities | 133,295 | 36,997 | |
Available-for-sale and other securities | 15,562,837 | 8,775,441 | |
Consumer loans | 82,319 | ||
U.S. Treasury securities | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 5,497 | 5,472 | |
Federal agencies: Mortgage-backed | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 10,673,342 | 4,521,688 | |
Federal agencies: Other agencies | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 73,542 | 115,913 | |
Municipal securities | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 3,250,057 | 2,456,396 | |
Corporate debt | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 198,683 | 466,477 | |
Recurring | |||
Assets measured at fair value on a recurring basis | |||
Mortgage loans held for sale | 438,224 | 337,577 | |
Trading account securities | 133,295 | 36,997 | |
Available-for-sale and other securities | 15,015,133 | 8,442,655 | |
MSRs | 13,747 | 17,585 | |
Derivative assets netting | (181,940) | (161,297) | |
Derivative assets | 238,219 | 274,872 | |
Liabilities measured at fair value on a recurring basis | |||
Derivative liabilities netting | (272,361) | (144,309) | |
Derivative liabilities | 98,286 | 144,350 | |
Short-term borrowings | 474 | 1,770 | |
Recurring | U.S. Treasury securities | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 5,497 | 5,472 | |
Recurring | Federal agencies: Mortgage-backed | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 10,673,342 | 4,521,688 | |
Recurring | Federal agencies: Other agencies | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 73,542 | 115,913 | |
Recurring | Municipal securities | |||
Assets measured at fair value on a recurring basis | |||
Trading account securities | 1,148 | 4,159 | |
Available-for-sale and other securities | 3,250,057 | 2,456,396 | |
Recurring | Asset-backed securities | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 793,481 | 861,413 | |
Recurring | Corporate debt | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 198,683 | 466,477 | |
Recurring | Other securities | |||
Assets measured at fair value on a recurring basis | |||
Trading account securities | 132,147 | 32,838 | |
Available-for-sale and other securities | 20,531 | 15,296 | |
Recurring | Level 1 | |||
Assets measured at fair value on a recurring basis | |||
Mortgage loans held for sale | 0 | 0 | |
Loans held for investment | 0 | 0 | |
Trading account securities | 132,147 | 32,475 | |
Available-for-sale and other securities | 22,085 | 16,869 | |
MSRs | 0 | 0 | |
Derivative assets gross | 0 | 0 | |
Liabilities measured at fair value on a recurring basis | |||
Gross amounts of recognized liabilities | 0 | 0 | |
Short-term borrowings | 474 | 0 | |
Recurring | Level 1 | U.S. Treasury securities | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 5,497 | 5,472 | |
Recurring | Level 1 | Federal agencies: Mortgage-backed | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 0 | 0 | |
Recurring | Level 1 | Federal agencies: Other agencies | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 0 | 0 | |
Recurring | Level 1 | Municipal securities | |||
Assets measured at fair value on a recurring basis | |||
Trading account securities | 0 | 0 | |
Available-for-sale and other securities | 0 | 0 | |
Recurring | Level 1 | Asset-backed securities | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 0 | 0 | |
Recurring | Level 1 | Corporate debt | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 0 | 0 | |
Recurring | Level 1 | Other securities | |||
Assets measured at fair value on a recurring basis | |||
Trading account securities | 132,147 | 32,475 | |
Available-for-sale and other securities | 16,588 | 11,397 | |
Recurring | Level 2 | |||
Assets measured at fair value on a recurring basis | |||
Mortgage loans held for sale | 438,224 | 337,577 | |
Loans held for investment | 34,439 | 32,889 | |
Trading account securities | 1,148 | 4,522 | |
Available-for-sale and other securities | 12,119,001 | 6,229,898 | |
MSRs | 0 | 0 | |
Derivative assets gross | 414,412 | 429,448 | |
Liabilities measured at fair value on a recurring basis | |||
Gross amounts of recognized liabilities | 362,777 | 287,994 | |
Short-term borrowings | 0 | 1,770 | |
Recurring | Level 2 | U.S. Treasury securities | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 0 | 0 | |
Recurring | Level 2 | Federal agencies: Mortgage-backed | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 10,673,342 | 4,521,688 | |
Recurring | Level 2 | Federal agencies: Other agencies | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 73,542 | 115,913 | |
Recurring | Level 2 | Municipal securities | |||
Assets measured at fair value on a recurring basis | |||
Trading account securities | 1,148 | 4,159 | |
Available-for-sale and other securities | 452,013 | 360,845 | |
Recurring | Level 2 | Asset-backed securities | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 717,478 | 761,076 | |
Recurring | Level 2 | Corporate debt | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 198,683 | 466,477 | |
Recurring | Level 2 | Other securities | |||
Assets measured at fair value on a recurring basis | |||
Trading account securities | 0 | 363 | |
Available-for-sale and other securities | 3,943 | 3,899 | |
Recurring | Level 3 | |||
Assets measured at fair value on a recurring basis | |||
Mortgage loans held for sale | 0 | 0 | |
Loans held for investment | 47,880 | ||
Trading account securities | 0 | 0 | |
Available-for-sale and other securities | 2,874,047 | 2,195,888 | |
Consumer loans | 1,748 | ||
MSRs | 13,747 | 17,585 | |
Derivative assets gross | 5,747 | 6,721 | |
Liabilities measured at fair value on a recurring basis | |||
Gross amounts of recognized liabilities | 7,870 | 665 | |
Short-term borrowings | 0 | 0 | |
Recurring | Level 3 | U.S. Treasury securities | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 0 | 0 | |
Recurring | Level 3 | Federal agencies: Mortgage-backed | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 0 | 0 | |
Recurring | Level 3 | Federal agencies: Other agencies | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 0 | 0 | |
Recurring | Level 3 | Municipal securities | |||
Assets measured at fair value on a recurring basis | |||
Trading account securities | 0 | 0 | |
Available-for-sale and other securities | 2,798,044 | 2,095,551 | |
Recurring | Level 3 | Asset-backed securities | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 76,003 | 100,337 | |
Recurring | Level 3 | Corporate debt | |||
Assets measured at fair value on a recurring basis | |||
Available-for-sale and other securities | 0 | 0 | |
Recurring | Level 3 | Other securities | |||
Assets measured at fair value on a recurring basis | |||
Trading account securities | 0 | 0 | |
Available-for-sale and other securities | $ 0 | $ 0 |
FAIR VALUES OF ASSETS AND LI137
FAIR VALUES OF ASSETS AND LIABILITIES - Level 3 Roll Forward (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Derivative instruments | |||
Opening balance | $ 6,056 | $ 3,360 | $ 2,390 |
Transfers into Level 3 | 0 | 0 | 0 |
Transfers out of Level 3 | (7,251) | (2,793) | 0 |
Total gains/losses for the period: | |||
Included in earnings | (928) | 5,489 | 3,047 |
Included in OCI | 0 | 0 | 0 |
Purchases/originations | 0 | 0 | 0 |
Sales | 0 | 0 | 0 |
Repayments | 0 | 0 | 0 |
Settlements | 0 | 0 | (2,077) |
Opening balance | (2,123) | 6,056 | 3,360 |
Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at end of the reporting date | (928) | 5,489 | 3,047 |
MSRs | |||
Level 3 Assets Roll Forward: | |||
Opening balance | 17,585 | 22,786 | 34,236 |
Transfers into Level 3 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 |
Total gains/losses for the period: | |||
Included in earnings | (3,838) | (5,201) | (11,450) |
Included in OCI | 0 | 0 | 0 |
Purchases/originations | 0 | 0 | 0 |
Sales | 0 | 0 | 0 |
Repayments | 0 | 0 | 0 |
Settlements | 0 | 0 | 0 |
Closing balance | 13,747 | 17,585 | 22,786 |
Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at end of the reporting date | (3,838) | (5,201) | (11,450) |
Municipal securities | |||
Level 3 Assets Roll Forward: | |||
Opening balance | 2,095,551 | 1,417,593 | 654,537 |
Transfers into Level 3 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 |
Total gains/losses for the period: | |||
Included in earnings | 7,049 | 149 | 0 |
Included in OCI | (28,270) | (3,652) | 14,776 |
Purchases/originations | 1,399,394 | 1,002,153 | 1,038,348 |
Sales | (37,444) | (9,656) | 0 |
Repayments | 0 | 0 | 0 |
Settlements | (638,236) | (311,036) | (290,068) |
Closing balance | 2,798,044 | 2,095,551 | 1,417,593 |
Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at end of the reporting date | (33,415) | 0 | 14,776 |
Private-label CMO | |||
Level 3 Assets Roll Forward: | |||
Opening balance | 0 | 30,464 | 32,140 |
Transfers into Level 3 | 0 | 0 | |
Transfers out of Level 3 | 0 | 0 | |
Total gains/losses for the period: | |||
Included in earnings | 47 | 36 | |
Included in OCI | 1,832 | 452 | |
Purchases/originations | 0 | 0 | |
Sales | (30,077) | 0 | |
Repayments | 0 | 0 | |
Settlements | (2,266) | (2,164) | |
Closing balance | 0 | 30,464 | |
Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at end of the reporting date | 0 | 452 | |
Asset-backed securities | |||
Level 3 Assets Roll Forward: | |||
Opening balance | 100,337 | 82,738 | 107,419 |
Transfers into Level 3 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 |
Total gains/losses for the period: | |||
Included in earnings | (2,593) | (2,400) | 226 |
Included in OCI | 6,448 | 24,802 | 21,839 |
Purchases/originations | 0 | 0 | 0 |
Sales | (25,196) | 0 | (22,870) |
Repayments | 0 | 0 | 0 |
Settlements | (2,993) | (4,803) | (23,876) |
Closing balance | 76,003 | 100,337 | 82,738 |
Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at end of the reporting date | 3,722 | (2,440) | 21,137 |
Automobile | |||
Level 3 Assets Roll Forward: | |||
Opening balance | 1,748 | 10,590 | 52,286 |
Transfers into Level 3 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 |
Total gains/losses for the period: | |||
Included in earnings | (2,353) | (497) | (918) |
Included in OCI | 0 | 0 | 0 |
Purchases/originations | 56,469 | 0 | 0 |
Sales | 0 | 0 | 0 |
Repayments | (7,984) | (8,345) | (40,778) |
Settlements | 0 | 0 | 0 |
Closing balance | 47,880 | 1,748 | 10,590 |
Change in unrealized gains or losses for the period included in earnings (or changes in net assets) for assets held at end of the reporting date | $ 0 | $ (497) | $ (1,624) |
FAIR VALUES OF ASSETS AND LI138
FAIR VALUES OF ASSETS AND LIABILITIES - Level 3 Classification of Gains/Losses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Net derivatives gain (loss) included in earnings | $ (928) | $ 5,489 | $ 3,047 |
MSRs | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | (3,838) | (5,201) | (11,450) |
Municipal securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | 7,049 | 149 | 0 |
Private-label CMO | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | 47 | 36 | |
Asset-backed securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | (2,593) | (2,400) | 226 |
Automobile | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | (2,353) | (497) | (918) |
Mortgage banking income | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Net derivatives gain (loss) included in earnings | (928) | 5,489 | 3,047 |
Mortgage banking income | MSRs | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | (3,838) | (5,201) | (11,450) |
Mortgage banking income | Municipal securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | 0 | 0 | 0 |
Mortgage banking income | Private-label CMO | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | 0 | 0 | |
Mortgage banking income | Asset-backed securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | 0 | 0 | 0 |
Mortgage banking income | Automobile | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | 0 | 0 | 0 |
Securities gains (losses) | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Net derivatives gain (loss) included in earnings | 0 | 0 | 0 |
Securities gains (losses) | MSRs | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | 0 | 0 | 0 |
Securities gains (losses) | Municipal securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | 788 | 149 | 0 |
Securities gains (losses) | Private-label CMO | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | 0 | 0 | |
Securities gains (losses) | Asset-backed securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | (2,598) | (2,440) | 170 |
Securities gains (losses) | Automobile | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | 0 | 0 | 0 |
Interest and fee income | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Net derivatives gain (loss) included in earnings | 0 | 0 | 0 |
Interest and fee income | MSRs | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | 0 | 0 | 0 |
Interest and fee income | Municipal securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | 0 | 0 | 0 |
Interest and fee income | Private-label CMO | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | 47 | 36 | |
Interest and fee income | Asset-backed securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | 0 | 40 | 56 |
Interest and fee income | Automobile | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | 0 | (497) | (1,032) |
Noninterest income | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Net derivatives gain (loss) included in earnings | 0 | 0 | 0 |
Noninterest income | MSRs | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | 0 | 0 | 0 |
Noninterest income | Municipal securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | 6,261 | 0 | 0 |
Noninterest income | Private-label CMO | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | 0 | 0 | |
Noninterest income | Asset-backed securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | 5 | 0 | 0 |
Noninterest income | Automobile | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Assets gain (loss) included in earnings | $ (2,353) | $ 0 | $ 114 |
FAIR VALUES OF ASSETS AND LI139
FAIR VALUES OF ASSETS AND LIABILITIES - Fair Value Option (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Aug. 16, 2016 | Dec. 31, 2015 |
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Loans held for investment, fair value | $ 82,319 | $ 56,000 | $ 34,637 |
Automobile loans, fair value | 82,319 | ||
Loans held for sale | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Loans held for sale, aggregate unpaid principle | 433,760 | 326,802 | |
Aggregate difference | 4,464 | 10,775 | |
Loans held for investment | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Loans held for investment, fair value | 82,319 | 34,637 | |
Loans held for investment, aggregate unpaid principle | 91,998 | 35,385 | |
Aggregate difference | (9,679) | (748) | |
90 or more days | Loans held for sale | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Loans held for sale, fair value | 0 | 1,268 | |
Loans held for sale, aggregate unpaid principle | 0 | 1,294 | |
Aggregate difference | 0 | (26) | |
90 or more days | Loans held for investment | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Loans held for investment, fair value | 8,408 | 428 | |
Loans held for investment, aggregate unpaid principle | 11,082 | 497 | |
Aggregate difference | $ (2,674) | $ (69) |
FAIR VALUES OF ASSETS AND LI140
FAIR VALUES OF ASSETS AND LIABILITIES - Fair Value Option-Changes in Fair Value (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Loans held for sale | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Net gains (losses) from fair value changes | $ 6,741 | $ (2,342) | $ (1,978) |
Loans held for investment | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Net gains (losses) from fair value changes | 0 | (568) | (918) |
Gains (losses) included in fair value changes associated with instrument specific credit risk | $ 436 | $ 199 | $ 911 |
FAIR VALUES OF ASSETS AND LI141
FAIR VALUES OF ASSETS AND LIABILITIES - Non-recurring/Fair Values of Financial Instruments (Details) - Nonrecurring $ in Thousands | Dec. 31, 2016USD ($) |
Fair Value | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
MSRs | $ 171,309 |
Impaired loans | 53,818 |
Other real estate owned | 50,930 |
Total Gains/(Losses) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
MSRs | (1,918) |
Impaired loans | 11,412 |
Other real estate owned | 620 |
Level 1 | Fair Value | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
MSRs | 0 |
Impaired loans | 0 |
Other real estate owned | 0 |
Level 2 | Fair Value | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
MSRs | 0 |
Impaired loans | 0 |
Other real estate owned | 0 |
Level 3 | Fair Value | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
MSRs | 171,309 |
Impaired loans | 53,818 |
Other real estate owned | $ 50,930 |
FAIR VALUES OF ASSETS AND LI142
FAIR VALUES OF ASSETS AND LIABILITIES - Significant Unobservable Level 3 Inputs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Aug. 16, 2016 | Dec. 31, 2015 | |
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | |||
Available-for-sale and other securities | $ 15,562,837 | $ 8,775,441 | |
Loans held for investment | 82,319 | $ 56,000 | 34,637 |
Consumer loans | $ 82,319 | ||
Derivative Liabilities | Maximum | Consensus Pricing | Level 3 | |||
Quantitative information about level 3 fair value measurements | |||
Estimated Pull through % | 99.80% | ||
Derivative Liabilities | Minimum | Consensus Pricing | Level 3 | |||
Quantitative information about level 3 fair value measurements | |||
Estimated Pull through % | 11.90% | ||
Derivative Liabilities | Weighted Average | Consensus Pricing | Level 3 | |||
Quantitative information about level 3 fair value measurements | |||
Estimated Pull through % | 76.70% | ||
MSRs | Maximum | Discounted cash flow | Level 3 | |||
Quantitative information about level 3 fair value measurements | |||
Constant prepayment rate | 25.70% | ||
Spread over forward interest rate swap rates | 0.092 | ||
MSRs | Minimum | Discounted cash flow | Level 3 | |||
Quantitative information about level 3 fair value measurements | |||
Constant prepayment rate | 7.90% | ||
Spread over forward interest rate swap rates | 0.033 | ||
MSRs | Weighted Average | Discounted cash flow | Level 3 | |||
Quantitative information about level 3 fair value measurements | |||
Constant prepayment rate | 14.70% | ||
Spread over forward interest rate swap rates | 0.054 | ||
Derivative Assets | Maximum | Consensus Pricing | Level 3 | |||
Quantitative information about level 3 fair value measurements | |||
Net market price | 20.90% | ||
Derivative Assets | Minimum | Consensus Pricing | Level 3 | |||
Quantitative information about level 3 fair value measurements | |||
Net market price | (3.20%) | ||
Derivative Assets | Weighted Average | Consensus Pricing | Level 3 | |||
Quantitative information about level 3 fair value measurements | |||
Net market price | 1.90% | ||
Municipal securities | Maximum | Discounted cash flow | Level 3 | |||
Quantitative information about level 3 fair value measurements | |||
Discount rate | 7.20% | ||
Cumulative default | 50.00% | ||
Loss given default | 80.00% | ||
Municipal securities | Minimum | Discounted cash flow | Level 3 | |||
Quantitative information about level 3 fair value measurements | |||
Discount rate | 0.30% | ||
Cumulative default | 0.10% | ||
Loss given default | 5.00% | ||
Municipal securities | Weighted Average | Discounted cash flow | Level 3 | |||
Quantitative information about level 3 fair value measurements | |||
Discount rate | 3.10% | ||
Cumulative default | 2.10% | ||
Loss given default | 20.50% | ||
Asset-backed securities | Maximum | Discounted cash flow | Level 3 | |||
Quantitative information about level 3 fair value measurements | |||
Discount rate | 10.90% | ||
Cumulative prepayment rate | 100.00% | ||
Cumulative default | 100.00% | ||
Loss given default | 100.00% | ||
Cure given deferral | 75.00% | ||
Asset-backed securities | Minimum | Discounted cash flow | Level 3 | |||
Quantitative information about level 3 fair value measurements | |||
Discount rate | 4.60% | ||
Cumulative prepayment rate | 0.00% | ||
Cumulative default | 1.60% | ||
Loss given default | 85.00% | ||
Cure given deferral | 0.00% | ||
Asset-backed securities | Weighted Average | Discounted cash flow | Level 3 | |||
Quantitative information about level 3 fair value measurements | |||
Discount rate | 6.20% | ||
Cumulative prepayment rate | 9.60% | ||
Cumulative default | 11.10% | ||
Loss given default | 96.60% | ||
Cure given deferral | 36.80% | ||
Automobile | Maximum | Discounted cash flow | Level 3 | |||
Quantitative information about level 3 fair value measurements | |||
Constant prepayment rate | 154.20% | ||
Discount rate | 5.00% | ||
Life of pool cumulative losses | 2.10% | ||
Automobile | Minimum | Discounted cash flow | Level 3 | |||
Quantitative information about level 3 fair value measurements | |||
Constant prepayment rate | 154.20% | ||
Discount rate | 0.20% | ||
Life of pool cumulative losses | 2.10% | ||
Automobile | Weighted Average | Discounted cash flow | Level 3 | |||
Quantitative information about level 3 fair value measurements | |||
Constant prepayment rate | 154.20% | ||
Discount rate | 2.30% | ||
Life of pool cumulative losses | 2.10% | ||
Recurring | |||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | |||
MSRs | $ 13,747 | 17,585 | |
Available-for-sale and other securities | 15,015,133 | 8,442,655 | |
Recurring | Level 3 | |||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | |||
MSRs | 13,747 | 17,585 | |
Derivative assets gross | 5,747 | 6,721 | |
Gross amounts of recognized liabilities | 7,870 | 665 | |
Available-for-sale and other securities | 2,874,047 | 2,195,888 | |
Loans held for investment | 47,880 | ||
Consumer loans | 1,748 | ||
Fair Value | |||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | |||
Available-for-sale and other securities | 15,562,837 | $ 8,775,441 | |
Fair Value | Nonrecurring | |||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | |||
MSRs | 171,309 | ||
Impaired loans | 53,818 | ||
Other real estate owned | 50,930 | ||
Fair Value | Nonrecurring | Level 3 | |||
Fair Value Inputs, Assets and Liabilities, Quantitative Information [Line Items] | |||
MSRs | 171,309 | ||
Impaired loans | 53,818 | ||
Other real estate owned | $ 50,930 |
FAIR VALUES OF ASSETS AND LI143
FAIR VALUES OF ASSETS AND LIABILITIES - Balance Sheet Location (Details) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Financial Assets: | ||
Trading account securities | $ 133,295 | $ 36,997 |
Loans held for sale | 512,951 | 474,621 |
Available-for-sale and other securities | 15,562,837 | 8,775,441 |
Held-to-maturity securities | 7,806,939 | 6,159,590 |
Net loans and leases | 66,323,583 | 49,743,256 |
Financial Liabilities: | ||
Deposits | 75,607,717 | 55,294,979 |
Short-term borrowings | 3,692,654 | 615,279 |
Long-term borrowings | 8,309,159 | 7,041,364 |
Carrying Amount | ||
Financial Assets: | ||
Cash and short term assets | 1,443,037 | 898,994 |
Trading account securities | 133,295 | 36,997 |
Loans held for sale | 512,951 | 474,621 |
Available-for-sale and other securities | 15,562,837 | 8,775,441 |
Held-to-maturity securities | 7,806,939 | 6,159,590 |
Net loans and leases | 66,323,583 | 49,743,256 |
Derivatives | 238,219 | 274,872 |
Financial Liabilities: | ||
Deposits | 75,607,717 | 55,294,979 |
Short-term borrowings | 3,692,654 | 615,279 |
Long-term borrowings | 8,309,159 | 7,041,364 |
Derivatives | 98,286 | 144,350 |
Fair Value | ||
Financial Assets: | ||
Cash and short term assets | 1,443,037 | 898,994 |
Trading account securities | 133,295 | 36,997 |
Loans held for sale | 515,640 | 484,511 |
Available-for-sale and other securities | 15,562,837 | 8,775,441 |
Held-to-maturity securities | 7,787,268 | 6,135,458 |
Net loans and leases | 66,294,639 | 48,024,998 |
Derivatives | 238,219 | 274,872 |
Financial Liabilities: | ||
Deposits | 76,161,091 | 55,299,435 |
Short-term borrowings | 3,692,654 | 615,279 |
Long-term borrowings | 8,387,444 | 7,016,789 |
Derivatives | 98,286 | 144,350 |
Level 1 | Fair Value | ||
Financial Assets: | ||
Held-to-maturity securities | 0 | 0 |
Net loans and leases | 0 | 0 |
Financial Liabilities: | ||
Deposits | 0 | 0 |
Short-term borrowings | 474 | 0 |
Long-term borrowings | 0 | 0 |
Level 2 | Fair Value | ||
Financial Assets: | ||
Held-to-maturity securities | 7,787,268 | 6,135,458 |
Net loans and leases | 0 | 0 |
Financial Liabilities: | ||
Deposits | 72,319,328 | 51,869,105 |
Short-term borrowings | 0 | 1,770 |
Long-term borrowings | 7,980,176 | 0 |
Level 3 | Fair Value | ||
Financial Assets: | ||
Held-to-maturity securities | 0 | 0 |
Net loans and leases | 66,294,639 | 48,024,998 |
Financial Liabilities: | ||
Deposits | 3,841,763 | 3,430,330 |
Short-term borrowings | 3,692,180 | 613,509 |
Long-term borrowings | $ 407,268 | $ 7,016,789 |
DERIVATIVE FINANCIAL INSTRUM144
DERIVATIVE FINANCIAL INSTRUMENTS - Asset and Liability Management (Details) $ in Thousands | Dec. 31, 2016USD ($) |
Derivative [Line Items] | |
Total notional value | $ 10,800,000 |
Fair Value Hedges | |
Derivative [Line Items] | |
Total notional value | 7,475,000 |
Cash Flow Hedges | |
Derivative [Line Items] | |
Total notional value | 3,325,000 |
Loans | |
Derivative [Line Items] | |
Total notional value | 3,325,000 |
Loans | Fair Value Hedges | |
Derivative [Line Items] | |
Total notional value | 0 |
Loans | Cash Flow Hedges | |
Derivative [Line Items] | |
Total notional value | 3,325,000 |
Deposits | |
Derivative [Line Items] | |
Total notional value | 0 |
Deposits | Fair Value Hedges | |
Derivative [Line Items] | |
Total notional value | 0 |
Deposits | Cash Flow Hedges | |
Derivative [Line Items] | |
Total notional value | 0 |
Subordinated notes | |
Derivative [Line Items] | |
Total notional value | 950,000 |
Subordinated notes | Fair Value Hedges | |
Derivative [Line Items] | |
Total notional value | 950,000 |
Subordinated notes | Cash Flow Hedges | |
Derivative [Line Items] | |
Total notional value | 0 |
Other long-term debt | |
Derivative [Line Items] | |
Total notional value | 6,525,000 |
Other long-term debt | Fair Value Hedges | |
Derivative [Line Items] | |
Total notional value | 6,525,000 |
Other long-term debt | Cash Flow Hedges | |
Derivative [Line Items] | |
Total notional value | $ 0 |
DERIVATIVE FINANCIAL INSTRUM145
DERIVATIVE FINANCIAL INSTRUMENTS - Asset and Liability Management Add Info (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Derivative [Line Items] | |
Notional Value | $ 10,800,000 |
Average Maturity (years) | 2 years 4 months |
Fair Value | $ (53,556) |
Weighted-Average Rate Receive | 1.35% |
Weighted-Average Rate Pay | 0.89% |
Asset conversion swaps - Receive Fixed - Generic | |
Derivative [Line Items] | |
Notional Value | $ 3,325,000 |
Average Maturity (years) | 7 months |
Fair Value | $ (2,060) |
Weighted-Average Rate Receive | 1.04% |
Weighted-Average Rate Pay | 0.91% |
Liability conversion swaps Receive Fixed Generic | |
Derivative [Line Items] | |
Notional Value | $ 7,475,000 |
Average Maturity (years) | 3 years 1 month |
Fair Value | $ (51,496) |
Weighted-Average Rate Receive | 1.49% |
Weighted-Average Rate Pay | 0.88% |
DERIVATIVE FINANCIAL INSTRUM146
DERIVATIVE FINANCIAL INSTRUMENTS - Hedging instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Accrued income and other assets | ||
Asset derivatives included in accrued income and other assets | ||
Interest rate contracts designated as hedging instruments | $ 46,440 | $ 80,513 |
Interest rate contracts not designated as hedging instruments | 213,587 | 190,846 |
Foreign exchange contracts not designated as hedging instruments | 23,265 | 37,727 |
Commodities contracts not designated as hedging instruments | 108,026 | 117,894 |
Derivative Instruments Not Designated as Hedging Instruments, Asset, at Fair Value | 9,775 | 0 |
Total derivative assets | 401,093 | 426,980 |
Accrued expenses and other liabilities | ||
Liability derivatives included in accrued expenses and other liabilities | ||
Interest rate contracts designated as hedging instruments | 99,996 | 15,215 |
Interest rate contracts not designated as hedging instruments | 143,976 | 121,815 |
Foreign exchange contracts not designated as hedging instruments | 19,576 | 35,283 |
Commodities contracts not designated as hedging instruments | 104,328 | 114,887 |
Derivative Instruments Not Designated as Hedging Instruments, Liability, at Fair Value | 0 | 0 |
Total derivative liabilities | $ 367,876 | $ 287,200 |
DERIVATIVE FINANCIAL INSTRUM147
DERIVATIVE FINANCIAL INSTRUMENTS - Cash Flow Hedges) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in OCI on derivatives (effective portion) | $ 1,548 | $ 8,428 | $ 9,192 |
Amount of (gain) or loss reclassified from accumulated OCI into earnings (effective portion) (pre-tax) | (360) | (220) | (3,971) |
Deposits | Interest expense deposits | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Increase or (decrease) to interest expense for derivatives designated as fair value hedges | (82) | (996) | (1,045) |
Hedged deposits | Interest expense deposits | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Increase or (decrease) to interest expense for derivatives designated as fair value hedges | 72 | 992 | 1,025 |
Subordinated notes | Interest expense subordinated notes and other long term debt | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Increase or (decrease) to interest expense for derivatives designated as fair value hedges | (47,852) | (8,237) | 476 |
Hedged subordinated notes | Interest expense subordinated notes and other long term debt | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Increase or (decrease) to interest expense for derivatives designated as fair value hedges | 45,019 | 8,237 | (476) |
Other long-term debt | Interest expense subordinated notes and other long term debt | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Increase or (decrease) to interest expense for derivatives designated as fair value hedges | (74,481) | 3,903 | 1,990 |
Hedged Other long term debt | Interest expense subordinated notes and other long term debt | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Increase or (decrease) to interest expense for derivatives designated as fair value hedges | 67,389 | (3,602) | 828 |
Loans | Interest and fee income—loans and leases | Cash Flow Hedges | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in OCI on derivatives (effective portion) | 1,548 | 8,428 | 9,192 |
Amount of (gain) or loss reclassified from accumulated OCI into earnings (effective portion) (pre-tax) | (361) | (210) | (4,064) |
Loans | Noninterest income - other income | Cash Flow Hedges | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in OCI on derivatives (effective portion) | 0 | 0 | 0 |
Amount of (gain) or loss reclassified from accumulated OCI into earnings (effective portion) (pre-tax) | $ 1 | $ (10) | $ 93 |
DERIVATIVE FINANCIAL INSTRUM148
DERIVATIVE FINANCIAL INSTRUMENTS - Fair Value Hedges (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Loans | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gains and (losses) recognized in noninterest income on the ineffective portion on interest rate contracts for derivatives designated as cash flow hedges | $ (317) | $ (763) | $ 74 |
DERIVATIVE FINANCIAL INSTRUM149
DERIVATIVE FINANCIAL INSTRUMENTS - Mortgage Banking Activities (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Interest rate lock agreements | ||
Derivative assets: | ||
Derivative assets gross | $ 5,747 | $ 6,721 |
Derivative liabilities: | ||
Total derivative liabilities | (1,598) | (220) |
Forward trades and options | ||
Derivative assets: | ||
Derivative assets gross | 13,319 | 2,468 |
Derivative liabilities: | ||
Total derivative liabilities | (1,173) | (1,239) |
Derivative used in Mortgage Banking Activities | ||
Derivative assets: | ||
Derivative assets gross | 19,066 | 9,189 |
Derivative liabilities: | ||
Total derivative liabilities | (2,771) | (1,459) |
Net derivative asset | $ 16,295 | $ 7,730 |
DERIVATIVE FINANCIAL INSTRUM150
DERIVATIVE FINANCIAL INSTRUMENTS - Offsetting Assets (Details) - Deriviative Contract - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Derivative Asset [Abstract] | ||
Gross amounts of recognized assets | $ 420,159 | $ 436,169 |
Gross amounts offset in the consolidated balance sheets | (181,940) | (161,297) |
Net amounts of assets presented in the consolidated balance sheets | 238,219 | 274,872 |
Derivative Asset, Fair Value, Amount Not Offset Against Collateral [Abstract] | ||
Gross amounts not offset in the statement of financial position - financial instruments | (34,328) | (39,305) |
Gross amounts not offset in the statement of financial position - cash collateral received | (5,428) | (3,462) |
Net amount | $ 198,463 | $ 232,105 |
DERIVATIVE FINANCIAL INSTRUM151
DERIVATIVE FINANCIAL INSTRUMENTS - Offsetting Liabilities (Details) - Deriviative Contract - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Derivative Liability [Abstract] | ||
Gross amounts of recognized liabilities | $ 370,647 | $ 288,659 |
Gross amounts offset in the consolidated balance sheets | (272,361) | (144,309) |
Net amounts of assets presented in the consolidated balance sheets | 98,286 | 144,350 |
Derivative Liability, Fair Value, Amount Not Offset Against Collateral [Abstract] | ||
Gross amounts not offset in the consolidated balance sheets, financial instruments | (7,550) | (62,460) |
Gross amounts not offset in the consolidated balance sheets, cash collateral received | (23,943) | (20) |
Net amount | $ 66,793 | $ 81,870 |
DERIVATIVE FINANCIAL INSTRUM152
DERIVATIVE FINANCIAL INSTRUMENTS - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Jun. 30, 2016 | |
Derivative [Line Items] | ||||
Increase (decrease) to net interest income due to derivative adjustment | $ 72,000 | $ 108,000 | $ 98,000 | |
Expected after-tax unrealized gains on cash flow hedging derivatives reclassified to earnings | (2,000) | |||
Purchase of interest rate caps and derivative financial instruments, notional value | 10,800,000 | |||
Notional amount corresponds to trading liabilities, fair value | 3,000 | |||
Total notional amount corresponds to trading assets, fair value (less than) | 1,000 | |||
Credit risks from interest rate swaps used for trading purposes | 196,000 | 224,000 | ||
Credit risk derivative fair value | 3,000 | 6,000 | ||
Aggregate credit risk, net of collateral | 26,000 | 15,000 | ||
Investment securities and cash collateral pledged by Huntington | 172,000 | |||
Investment securities and cash collateral pledged to Huntington | 90,000 | |||
Swap | ||||
Derivative [Line Items] | ||||
Gross amounts of recognized liabilities (less than) | 1,000 | |||
Derivative liabilities | 6,000 | |||
Derivative used in trading activity | ||||
Derivative [Line Items] | ||||
Net derivative asset (liability) | 80,000 | 76,000 | ||
Derivative financial instruments used by Huntington on behalf of customers including offsetting derivatives, notional value | 21,000,000 | 15,000,000 | ||
Derivative used in Mortgage Banking Activities | ||||
Derivative [Line Items] | ||||
Gross amounts of recognized liabilities (less than) | 2,771 | 1,459 | ||
Purchase of interest rate caps and derivative financial instruments, notional value | 300,000 | 500,000 | ||
Gains (losses) related to derivative instruments Included in total MSR | (1,000) | (2,000) | $ 7,000 | |
Net derivative asset (liability) | 16,295 | 7,730 | ||
Share Swap Economic Hedge | ||||
Derivative [Line Items] | ||||
Purchase of interest rate caps and derivative financial instruments, notional value | $ 20,000 | |||
Derivative, Fair Value, Net | 10,000 | |||
Other Credit Derivatives | ||||
Derivative [Line Items] | ||||
Derivative asset notional amount | $ 582,000 | $ 344,000 |
VIEs - Narrative (Details)
VIEs - Narrative (Details) $ in Millions | 3 Months Ended | 12 Months Ended | ||||
Dec. 31, 2016USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015trust | Dec. 31, 2012USD ($) | Mar. 31, 2012USD ($) | Dec. 31, 2016securitization | |
Variable Interest Entity [Line Items] | ||||||
Number of Securitization Trusts Acquired | trust | 2 | |||||
Maximum year to defer payment of interest on Debenture | 5 years | |||||
Trust 2016 Unconsolidated | ||||||
Variable Interest Entity [Line Items] | ||||||
Total of automobile loans transferred In securitization transaction | $ 2 | |||||
2015-1 Automobile Trust | ||||||
Variable Interest Entity [Line Items] | ||||||
Total of automobile loans transferred In securitization transaction | $ 1 | |||||
2012-1 Automobile Trust | ||||||
Variable Interest Entity [Line Items] | ||||||
Total of automobile loans transferred In securitization transaction | $ 1 | |||||
2012-2 Automobile Trust | ||||||
Variable Interest Entity [Line Items] | ||||||
Total of automobile loans transferred In securitization transaction | $ 1 | |||||
Macquarie Equipment Finance | ||||||
Variable Interest Entity [Line Items] | ||||||
Number of securitizations | securitization | 2 |
VIEs - Consolidated VIEs (Detai
VIEs - Consolidated VIEs (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Assets: | ||||
Cash | $ 1,384,770 | $ 847,156 | ||
Net loans and leases | 66,323,583 | 49,743,256 | ||
Accrued income and other assets | 2,062,976 | 1,630,110 | ||
Total assets | 99,714,097 | 71,018,301 | ||
Liabilities | ||||
Long-term debt | 8,309,159 | 7,041,364 | ||
Accrued interest and other liabilities | 1,796,421 | 1,472,073 | ||
Total liabilities | 89,405,951 | 64,423,695 | ||
Equity: | ||||
Total liabilities and shareholders’ equity | 99,714,097 | 71,018,301 | ||
Loans and Leases Receivable, Gross | 66,961,996 | 50,341,099 | ||
Total ALLL balance: | 638,413 | 597,843 | $ 605,196 | $ 647,870 |
Macquarie Equipment Funding Trust Series 2012A | ||||
Assets: | ||||
Cash | 1,377 | |||
Net loans and leases | 32,180 | |||
Accrued income and other assets | 0 | |||
Total assets | 33,557 | |||
Liabilities | ||||
Long-term debt | 27,153 | |||
Accrued interest and other liabilities | 0 | |||
Total liabilities | 27,153 | |||
Equity: | ||||
Beneficial Interest owned by third party | 6,404 | |||
Total liabilities and shareholders’ equity | 33,557 | |||
Macquarie Equipment Funding Trust Series 2014A | ||||
Assets: | ||||
Cash | 1,564 | 1,561 | ||
Net loans and leases | 69,825 | 152,331 | ||
Accrued income and other assets | 0 | 0 | ||
Total assets | 71,389 | 153,892 | ||
Liabilities | ||||
Long-term debt | 57,494 | 123,577 | ||
Accrued interest and other liabilities | 0 | 0 | ||
Total liabilities | 57,494 | 123,577 | ||
Equity: | ||||
Beneficial Interest owned by third party | 13,895 | 30,315 | ||
Total liabilities and shareholders’ equity | 71,389 | 153,892 | ||
Franklin 2009 Trust | ||||
Assets: | ||||
Cash | 0 | 0 | ||
Net loans and leases | 0 | 0 | ||
Accrued income and other assets | 281 | 229 | ||
Total assets | 281 | 229 | ||
Liabilities | ||||
Long-term debt | 0 | 0 | ||
Accrued interest and other liabilities | 281 | 229 | ||
Total liabilities | 281 | 229 | ||
Equity: | ||||
Beneficial Interest owned by third party | 0 | 0 | ||
Total liabilities and shareholders’ equity | 281 | 229 | ||
Trusts | ||||
Assets: | ||||
Cash | 1,564 | 2,938 | ||
Net loans and leases | 69,825 | 184,511 | ||
Accrued income and other assets | 281 | 229 | ||
Total assets | 71,670 | 187,678 | ||
Liabilities | ||||
Long-term debt | 57,494 | 150,730 | ||
Accrued interest and other liabilities | 281 | 229 | ||
Total liabilities | 57,775 | 150,959 | ||
Equity: | ||||
Beneficial Interest owned by third party | 13,895 | 36,719 | ||
Total liabilities and shareholders’ equity | $ 71,670 | $ 187,678 |
VIEs - Unconsolidated VIEs (Det
VIEs - Unconsolidated VIEs (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Variable Interest Entity [Line Items] | ||
Total Assets | $ 686,991 | $ 516,725 |
Total Liabilities | 587,589 | 538,869 |
Maximum Exposure to Loss | 673,072 | 502,806 |
Trust 2016 Unconsolidated | ||
Variable Interest Entity [Line Items] | ||
Total Assets | 14,770 | |
Total Liabilities | 0 | |
Maximum Exposure to Loss | 14,770 | |
2015-1 Automobile Trust | ||
Variable Interest Entity [Line Items] | ||
Total Assets | 2,227 | 7,695 |
Total Liabilities | 0 | 0 |
Maximum Exposure to Loss | 2,227 | 7,695 |
2012-1 Automobile Trust | ||
Variable Interest Entity [Line Items] | ||
Total Assets | 0 | 94 |
Total Liabilities | 0 | 0 |
Maximum Exposure to Loss | 0 | 94 |
2012-2 Automobile Trust | ||
Variable Interest Entity [Line Items] | ||
Total Assets | 0 | 771 |
Total Liabilities | 0 | 0 |
Maximum Exposure to Loss | 0 | 771 |
Trust Preferred Securities | ||
Variable Interest Entity [Line Items] | ||
Total Assets | 13,919 | 13,919 |
Total Liabilities | 252,552 | 317,106 |
Maximum Exposure to Loss | 0 | 0 |
Low Income Housing Tax Credit Partnerships | ||
Variable Interest Entity [Line Items] | ||
Total Assets | 576,880 | 425,500 |
Total Liabilities | 292,721 | 196,001 |
Maximum Exposure to Loss | 576,880 | 425,500 |
Other Investments | ||
Variable Interest Entity [Line Items] | ||
Total Assets | 79,195 | 68,746 |
Total Liabilities | 42,316 | 25,762 |
Maximum Exposure to Loss | $ 79,195 | $ 68,746 |
VIEs - Trust Preferred Securiti
VIEs - Trust Preferred Securities (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Variable Interest Entity [Line Items] | |
Principal amount of subordinated note/ debenture issued to trust | $ 8,382,552 |
Huntington Capital I | |
Variable Interest Entity [Line Items] | |
Rate | 1.59% |
Principal amount of subordinated note/ debenture issued to trust | $ 69,730 |
Investment in unconsolidated subsidiary | $ 6,186 |
Huntington Capital I | Three-month LIBOR | |
Variable Interest Entity [Line Items] | |
Basis spread on variable rate | 0.70% |
Huntington Capital II | |
Variable Interest Entity [Line Items] | |
Rate | 1.59% |
Principal amount of subordinated note/ debenture issued to trust | $ 32,093 |
Investment in unconsolidated subsidiary | $ 3,093 |
Huntington Capital II | Three-month LIBOR | |
Variable Interest Entity [Line Items] | |
Basis spread on variable rate | 62.50% |
Sky Financial Capital Trust III | |
Variable Interest Entity [Line Items] | |
Rate | 2.40% |
Principal amount of subordinated note/ debenture issued to trust | $ 72,165 |
Investment in unconsolidated subsidiary | $ 2,165 |
Sky Financial Capital Trust III | Three-month LIBOR | |
Variable Interest Entity [Line Items] | |
Basis spread on variable rate | 1.40% |
Sky Financial Capital Trust IV | |
Variable Interest Entity [Line Items] | |
Rate | 2.25% |
Principal amount of subordinated note/ debenture issued to trust | $ 74,320 |
Investment in unconsolidated subsidiary | $ 2,320 |
Sky Financial Capital Trust IV | Three-month LIBOR | |
Variable Interest Entity [Line Items] | |
Basis spread on variable rate | 1.33% |
Camco Financial Trust | |
Variable Interest Entity [Line Items] | |
Rate | 3.43% |
Principal amount of subordinated note/ debenture issued to trust | $ 4,244 |
Investment in unconsolidated subsidiary | 155 |
Variable Interest Entity, Not Primary Beneficiary | |
Variable Interest Entity [Line Items] | |
Principal amount of subordinated note/ debenture issued to trust | 252,552 |
Investment in unconsolidated subsidiary | $ 13,919 |
VIEs - Low Income Housing Tax C
VIEs - Low Income Housing Tax Credit Partnerships (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Low Income Housing Tax Credit Partnerships | |||
Variable Interest Entity [Line Items] | |||
Affordable housing tax credit investments | $ 877,237 | $ 674,157 | |
Less: amortization | (300,357) | (248,657) | |
Net affordable housing tax credit investments | 576,880 | 425,500 | |
Unfunded commitments | 292,721 | 196,001 | |
Tax credits and other tax benefits recognized | 79,696 | 59,614 | $ 51,317 |
Proportional Amortization Method | |||
Variable Interest Entity [Line Items] | |||
Tax credit amortization expense included in provision for income taxes | 52,713 | 42,951 | 39,021 |
Proportional amortization method | |||
Tax credit amortization expense included in provision for income taxes | 52,713 | 42,951 | 39,021 |
Equity Method | |||
Equity method | |||
Tax credit investment losses included in noninterest income | $ 637 | $ 355 | $ 434 |
COMMITMENTS AND CONTINGENT L158
COMMITMENTS AND CONTINGENT LIABILITIES - Commitments to Extend Credit (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Commercial | ||
Guarantor Obligations [Line Items] | ||
Contract amount represents credit risk | $ 15,190,056 | $ 11,448,927 |
Consumer | ||
Guarantor Obligations [Line Items] | ||
Contract amount represents credit risk | 12,235,943 | 8,574,093 |
Commercial real estate | ||
Guarantor Obligations [Line Items] | ||
Contract amount represents credit risk | 1,697,671 | 813,271 |
Standby letters of credit | ||
Guarantor Obligations [Line Items] | ||
Contract amount represents credit risk | 637,182 | 511,706 |
Commercial letters-of-credit | ||
Guarantor Obligations [Line Items] | ||
Contract amount represents credit risk | $ 4,610 | $ 56,119 |
COMMITMENTS AND CONTINGENT L159
COMMITMENTS AND CONTINGENT LIABILITIES - Narrative (Details) $ in Thousands | 2 Months Ended | 3 Months Ended | 12 Months Ended | |||||
Mar. 31, 2016lawsuit | Dec. 31, 2016USD ($) | Sep. 30, 2015USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2010lawsuit | Sep. 28, 2015USD ($) | |
Future minimum sublease rental payments: | ||||||||
Operating leases, future minimum payments due, future minimum sublease rentals, total | $ 8,000 | $ 8,000 | ||||||
2,016 | 3,000 | 3,000 | ||||||
2,017 | 2,000 | 2,000 | ||||||
2,018 | 2,000 | 2,000 | ||||||
2,019 | 1,000 | 1,000 | ||||||
2,020 | 0 | 0 | ||||||
Thereafter | 0 | 0 | ||||||
Operating lease, future minimum payments due: | ||||||||
2,016 | 59,000 | 59,000 | ||||||
2,017 | 54,000 | 54,000 | ||||||
2,018 | 48,000 | 48,000 | ||||||
2,019 | 46,000 | 46,000 | ||||||
2,020 | 30,000 | 30,000 | ||||||
Thereafter | 152,000 | 152,000 | ||||||
Total rental expense for all operating leases | 65,000 | $ 58,000 | $ 57,000 | |||||
Maximum | ||||||||
Loss Contingencies [Line Items] | ||||||||
Loss Contingency, Estimate of Possible Loss | 65,000 | 65,000 | ||||||
Commercial letters-of-credit | ||||||||
Loss Contingencies [Line Items] | ||||||||
Contract amount represents credit risk | 4,610 | $ 4,610 | 56,119 | |||||
Maturity period of guarantee | 90 days | |||||||
Commitments to Sell Loans | ||||||||
Loss Contingencies [Line Items] | ||||||||
Commitments to sell residential real estate loans | 800,000 | $ 800,000 | 659,000 | |||||
Maturity period of forward contracts relating mortgage banking business (less than) | 1 year | |||||||
Standby letters of credit | ||||||||
Loss Contingencies [Line Items] | ||||||||
Contract amount represents credit risk | 637,182 | $ 637,182 | 511,706 | |||||
Maturity period of guarantee | 2 years | |||||||
Outstanding standby letters of credit | 8,000 | $ 8,000 | $ 7,000 | |||||
Cyberco Litigation | ||||||||
Loss Contingencies [Line Items] | ||||||||
Bankruptcy Court recommended judgment amount in Cyberco case, principle | $ 72,000 | |||||||
Loss Contingency Accrual, Period Increase (Decrease) | (42,000) | $ 38,000 | ||||||
FirstMerit Merger Litigation | ||||||||
Loss Contingencies [Line Items] | ||||||||
Number of lawsuits | lawsuit | 5 | 2 | ||||||
FirstMerit Overdraft Litigation | Cash | ||||||||
Loss Contingencies [Line Items] | ||||||||
Litigation Settlement, Amount | 9,000 | |||||||
FirstMerit Overdraft Litigation | Debt forgiveness | ||||||||
Loss Contingencies [Line Items] | ||||||||
Litigation Settlement, Amount | 7,000 | |||||||
FirstMerit Overdraft Litigation | Insurance Settlement | ||||||||
Loss Contingencies [Line Items] | ||||||||
Litigation Settlement, Amount | $ 4,000 |
OTHER REGULATORY MATTERS (Detai
OTHER REGULATORY MATTERS (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Common equity tier one risk based capital required for capital adequacy to risk weighted assets | 4.50% | |
Tier 1 common equity to risk weighted assets ratio | 9.56% | 9.79% |
Tier 1 common equity amount | $ 7,485,816 | $ 5,721,028 |
Tier 1 risk based capital required to be well capitalized to risk weighted assets | 6.00% | |
Tier 1 risk based capital required for capital adequacy to risk weighted assets | 6.00% | |
Tier 1 capital ratio | 10.92% | 10.53% |
Tier 1 capital amount | $ 8,547,154 | $ 6,154,000 |
Capital required to be well capitalized to risk weighted assets | 10.00% | |
Capital required for capital adequacy to risk weighted assets | 8.00% | |
Risk based capital ratio | 13.05% | 12.64% |
Risk based capital amount | $ 10,215,627 | $ 7,386,936 |
Tier 1 leverage capital required for capital adequacy to average assets | 4.00% | |
Tier 1 leverage ratio | 8.70% | 8.79% |
Tier 1 leverage amount | $ 8,547,154 | $ 6,154,000 |
Bank | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Common equity tier one risked based capital required to be well capitalized to risk weighted assets | 6.50% | |
Common equity tier one risk based capital required for capital adequacy to risk weighted assets | 4.50% | |
Tier 1 common equity to risk weighted assets ratio | 10.42% | 9.46% |
Tier 1 common equity amount | $ 8,153,091 | $ 5,518,748 |
Tier 1 risk based capital required to be well capitalized to risk weighted assets | 8.00% | |
Tier 1 risk based capital required for capital adequacy to risk weighted assets | 6.00% | |
Tier 1 capital ratio | 11.61% | 9.83% |
Tier 1 capital amount | $ 9,085,921 | $ 5,735,274 |
Capital required to be well capitalized to risk weighted assets | 10.00% | |
Capital required for capital adequacy to risk weighted assets | 8.00% | |
Risk based capital ratio | 13.83% | 11.74% |
Risk based capital amount | $ 10,817,597 | $ 6,850,596 |
Tier 1 leverage capital required to be well capitalized to average assets | 5.00% | |
Tier 1 leverage capital required for capital adequacy to average assets | 4.00% | |
Tier 1 leverage ratio | 9.29% | 8.21% |
Tier 1 leverage amount | $ 9,085,921 | $ 5,735,274 |
OTHER REGULATORY MATTERS - Narr
OTHER REGULATORY MATTERS - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Banking and Thrift [Abstract] | ||
Average required reserve balance on deposits | $ 300 | $ 500 |
Amount bank could lend to single affiliate | 1,079 | |
Cash dividends paid to the holding company | $ 638 |
PARENT COMPANY FINANCIAL STA162
PARENT COMPANY FINANCIAL STATEMENTS - Balance Sheet (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Assets | ||||
Cash and due from banks | $ 1,384,770 | $ 847,156 | $ 1,220,565 | $ 1,001,132 |
Accrued interest receivable and other assets | 2,062,976 | 1,630,110 | ||
Total assets | 99,714,097 | 71,018,301 | ||
Liabilities and shareholders’ equity | ||||
Long-term borrowings | 8,309,159 | 7,041,364 | ||
Accrued expenses and other liabilities | 1,796,421 | 1,472,073 | ||
Total liabilities | 89,405,951 | 64,423,695 | ||
Shareholders’ equity | 10,308,146 | 6,594,606 | 6,328,170 | 6,090,153 |
Total liabilities and shareholders’ equity | 99,714,097 | 71,018,301 | ||
Parent Company | ||||
Assets | ||||
Cash and due from banks | 1,752,889 | 917,368 | $ 662,768 | $ 966,065 |
Due from The Huntington National Bank | 730,004 | 406,253 | ||
Due from non-bank subsidiaries | 45,193 | 48,151 | ||
Investment in The Huntington National Bank | 10,668,303 | 5,966,783 | ||
Investment in non-bank subsidiaries | 499,611 | 489,205 | ||
Accrued interest receivable and other assets | 320,666 | 192,444 | ||
Total assets | 14,016,666 | 8,020,204 | ||
Liabilities and shareholders’ equity | ||||
Long-term borrowings | 3,144,615 | 1,040,981 | ||
Accrued expenses and other liabilities | 563,905 | 384,617 | ||
Total liabilities | 3,708,520 | 1,425,598 | ||
Shareholders’ equity | 10,308,146 | 6,594,606 | ||
Total liabilities and shareholders’ equity | $ 14,016,666 | $ 8,020,204 |
PARENT COMPANY FINANCIAL STA163
PARENT COMPANY FINANCIAL STATEMENTS - Income Statement (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Interest from | |||||||||||
Other income | $ 129,317 | $ 132,714 | $ 126,004 | ||||||||
Expense | |||||||||||
Personnel costs | 1,349,124 | 1,122,182 | 1,048,775 | ||||||||
Other | 183,903 | 200,555 | 174,810 | ||||||||
Total noninterest expense | $ 681,497 | $ 712,247 | $ 523,661 | $ 491,080 | $ 498,766 | $ 526,508 | $ 491,777 | $ 458,857 | 2,408,485 | 1,975,908 | 1,882,346 |
Income before income taxes | 312,915 | 151,753 | 228,823 | 226,271 | 233,892 | 199,590 | 260,263 | 219,860 | 919,762 | 913,605 | 852,985 |
Provision (benefit) for income taxes | 73,952 | 24,749 | 54,283 | 54,957 | 55,583 | 47,002 | 64,057 | 54,006 | 207,941 | 220,648 | 220,593 |
Increase (decrease) in undistributed net income (loss) of: | |||||||||||
Net income | $ 238,963 | $ 127,004 | $ 174,540 | $ 171,314 | $ 178,309 | $ 152,588 | $ 196,206 | $ 165,854 | 711,821 | 692,957 | 632,392 |
Other comprehensive income (loss) | (174,858) | (3,866) | |||||||||
Parent Company | |||||||||||
Dividends from | |||||||||||
The Huntington National Bank | 188,200 | 822,000 | 244,000 | ||||||||
Non-bank subsidiaries | 11,378 | 38,883 | 27,773 | ||||||||
Interest from | |||||||||||
The Huntington National Bank | 13,892 | 5,954 | 3,906 | ||||||||
Non-bank subsidiaries | 2,221 | 2,317 | 2,613 | ||||||||
Other income | 0 | 4,529 | 2,994 | ||||||||
Total income | 215,691 | 873,683 | 281,286 | ||||||||
Expense | |||||||||||
Personnel costs | 11,960 | 4,770 | 53,359 | ||||||||
Interest on borrowings | 59,027 | 17,428 | 17,031 | ||||||||
Other | 122,869 | 92,735 | 52,662 | ||||||||
Total noninterest expense | 193,856 | 114,933 | 123,052 | ||||||||
Income before income taxes | 21,835 | 758,750 | 158,234 | ||||||||
Provision (benefit) for income taxes | (56,255) | (109,867) | (62,897) | ||||||||
Income (loss) before equity in undistributed net income of subsidiaries | 78,090 | 868,617 | 221,131 | ||||||||
Increase (decrease) in undistributed net income (loss) of: | |||||||||||
The Huntington National Bank | 629,220 | (160,567) | 414,049 | ||||||||
Non-bank subsidiaries | 4,511 | (15,093) | (2,788) | ||||||||
Net income | 711,821 | 692,957 | 632,392 | ||||||||
Other comprehensive income (loss) | (174,858) | (3,866) | (8,283) | ||||||||
Comprehensive income | $ 536,963 | $ 689,091 | $ 624,109 |
PARENT COMPANY FINANCIAL STA164
PARENT COMPANY FINANCIAL STATEMENTS - Cash Flow Statement (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Operating activities | |||||||||||
Net income | $ 238,963 | $ 127,004 | $ 174,540 | $ 171,314 | $ 178,309 | $ 152,588 | $ 196,206 | $ 165,854 | $ 711,821 | $ 692,957 | $ 632,392 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
Depreciation and amortization | 379,772 | 341,281 | 332,832 | ||||||||
Loss on sales of securities available-for-sale | (2,035) | (3,184) | (17,554) | ||||||||
Net cash provided by (used for) operating activities | 1,215,302 | 1,033,362 | 888,786 | ||||||||
Investing activities | |||||||||||
Sales of available-for-sale securities | 6,154,326 | 163,224 | 1,152,907 | ||||||||
Cash paid for acquisitions, net of cash received | (133,218) | (457,836) | 691,637 | ||||||||
Net cash provided by (used for) investing activities | (3,445,353) | (4,928,654) | (5,004,781) | ||||||||
Financing activities | |||||||||||
Proceeds from issuance of long-term borrowings | 2,127,750 | 3,232,227 | 2,000,000 | ||||||||
Payment of borrowings | 1,899,561 | (1,818,947) | 118,698 | ||||||||
Net proceeds from issuance of common stock | 0 | 0 | 2,597 | ||||||||
Net proceeds from issuance of preferred stock | 584,936 | 0 | 0 | ||||||||
Repurchase of common stock | 0 | (251,844) | (334,429) | ||||||||
Other, net | 5,122 | 5,583 | 4,635 | ||||||||
Net cash provided by (used for) financing activities | 2,767,665 | 3,521,883 | 4,335,428 | ||||||||
Increase (decrease) in cash and cash equivalents | 537,614 | (373,409) | 219,433 | ||||||||
Cash and cash equivalents at beginning of period | 847,156 | 1,220,565 | 847,156 | 1,220,565 | 1,001,132 | ||||||
Cash and cash equivalents at end of period | 1,384,770 | 847,156 | 1,384,770 | 847,156 | 1,220,565 | ||||||
Supplemental disclosures: | |||||||||||
Interest paid | 241,073 | 153,590 | 131,488 | ||||||||
Parent Company | |||||||||||
Operating activities | |||||||||||
Net income | 711,821 | 692,957 | 632,392 | ||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
Equity in undistributed net income of subsidiaries | (633,730) | 175,660 | (411,261) | ||||||||
Depreciation and amortization | (1,390) | 609 | 548 | ||||||||
Loss on sales of securities available-for-sale | 0 | 540 | 0 | ||||||||
Other, net | (23,600) | (44,197) | 26,685 | ||||||||
Net cash provided by (used for) operating activities | 53,101 | 825,569 | 248,364 | ||||||||
Investing activities | |||||||||||
Repayments from subsidiaries | 464,284 | 494,905 | 9,250 | ||||||||
Advances to subsidiaries | (1,758,745) | (612,610) | (32,350) | ||||||||
Sales of available-for-sale securities | (1,589) | 449 | 0 | ||||||||
Cash paid for acquisitions, net of cash received | (133,218) | 0 | (13,452) | ||||||||
Proceeds from business divestitures | 0 | 9,029 | 0 | ||||||||
Net cash provided by (used for) investing activities | (1,429,268) | (108,227) | (36,552) | ||||||||
Financing activities | |||||||||||
Proceeds from issuance of long-term borrowings | 1,989,938 | 0 | 0 | ||||||||
Payment of borrowings | (64,586) | 0 | 0 | ||||||||
Dividends paid on stock | (299,588) | (224,390) | (198,789) | ||||||||
Net proceeds from issuance of common stock | 0 | 0 | 2,597 | ||||||||
Net proceeds from issuance of preferred stock | 584,936 | 0 | 0 | ||||||||
Repurchase of common stock | 0 | (251,844) | (334,429) | ||||||||
Other, net | 988 | 13,492 | 15,512 | ||||||||
Net cash provided by (used for) financing activities | 2,211,688 | (462,742) | (515,109) | ||||||||
Increase (decrease) in cash and cash equivalents | 835,521 | 254,600 | (303,297) | ||||||||
Cash and cash equivalents at beginning of period | $ 917,368 | $ 662,768 | 917,368 | 662,768 | 966,065 | ||||||
Cash and cash equivalents at end of period | $ 1,752,889 | $ 917,368 | 1,752,889 | 917,368 | 662,768 | ||||||
Supplemental disclosures: | |||||||||||
Interest paid | $ 36,068 | $ 17,384 | $ 21,321 |
SEGMENT REPORTING (Details)
SEGMENT REPORTING (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016USD ($) | Sep. 30, 2016USD ($) | Jun. 30, 2016USD ($) | Mar. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($) | Dec. 31, 2016USD ($)segments | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Segment Reporting [Abstract] | |||||||||||
Number of reporting segments | segments | 5 | ||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net interest income | $ 734,981 | $ 625,390 | $ 505,881 | $ 503,066 | $ 496,911 | $ 495,455 | $ 490,686 | $ 467,685 | $ 2,369,318 | $ 1,950,737 | $ 1,837,141 |
Provision for credit losses | 74,906 | 63,805 | 24,509 | 27,582 | 36,468 | 22,476 | 20,419 | 20,591 | 190,802 | 99,954 | 80,989 |
Noninterest income | 334,337 | 302,415 | 271,112 | 241,867 | 272,215 | 253,119 | 281,773 | 231,623 | 1,149,731 | 1,038,730 | 979,179 |
Noninterest expense | 681,497 | 712,247 | 523,661 | 491,080 | 498,766 | 526,508 | 491,777 | 458,857 | 2,408,485 | 1,975,908 | 1,882,346 |
Provision (benefit) for income taxes | 73,952 | 24,749 | 54,283 | 54,957 | 55,583 | 47,002 | 64,057 | 54,006 | 207,941 | 220,648 | 220,593 |
Net income | 238,963 | $ 127,004 | $ 174,540 | $ 171,314 | 178,309 | $ 152,588 | $ 196,206 | $ 165,854 | 711,821 | 692,957 | 632,392 |
Total assets | 99,714,097 | 71,018,301 | 99,714,097 | 71,018,301 | |||||||
Deposits | 75,607,717 | 55,294,979 | 75,607,717 | 55,294,979 | |||||||
Operating Segments | Consumer & Business Banking | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net interest income | 1,272,713 | 1,027,950 | 912,992 | ||||||||
Provision for credit losses | 71,945 | 42,777 | 75,529 | ||||||||
Noninterest income | 558,811 | 478,142 | 409,746 | ||||||||
Noninterest expense | 1,208,585 | 1,099,779 | 982,288 | ||||||||
Provision (benefit) for income taxes | 192,848 | 127,238 | 92,722 | ||||||||
Net income | 358,146 | 236,298 | 172,199 | ||||||||
Total assets | 21,796,887 | 15,759,561 | 21,796,887 | 15,759,561 | |||||||
Deposits | 44,860,515 | 30,964,241 | 44,860,515 | 30,964,241 | |||||||
Operating Segments | Commercial Banking | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net interest income | 512,995 | 379,409 | 306,434 | ||||||||
Provision for credit losses | 98,816 | 49,534 | 31,521 | ||||||||
Noninterest income | 275,258 | 258,778 | 209,238 | ||||||||
Noninterest expense | 385,783 | 284,026 | 249,300 | ||||||||
Provision (benefit) for income taxes | 106,279 | 106,619 | 82,198 | ||||||||
Net income | 197,375 | 198,008 | 152,653 | ||||||||
Total assets | 23,918,429 | 17,022,387 | 23,918,429 | 17,022,387 | |||||||
Deposits | 15,616,241 | 11,498,883 | 15,616,241 | 11,498,883 | |||||||
Operating Segments | CREVF | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net interest income | 468,969 | 381,231 | 379,363 | ||||||||
Provision for credit losses | 26,922 | 4,890 | (52,843) | ||||||||
Noninterest income | 40,582 | 29,254 | 26,628 | ||||||||
Noninterest expense | 170,276 | 152,010 | 156,715 | ||||||||
Provision (benefit) for income taxes | 109,324 | 88,755 | 105,742 | ||||||||
Net income | 203,029 | 164,830 | 196,377 | ||||||||
Total assets | 23,580,331 | 17,856,358 | 23,580,331 | 17,856,358 | |||||||
Deposits | 1,886,626 | 1,649,301 | 1,886,626 | 1,649,301 | |||||||
Operating Segments | RBHPCG | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net interest income | 177,431 | 139,188 | 101,839 | ||||||||
Provision for credit losses | (3,467) | 87 | 4,893 | ||||||||
Noninterest income | 120,687 | 114,814 | 173,550 | ||||||||
Noninterest expense | 196,194 | 195,667 | 236,634 | ||||||||
Provision (benefit) for income taxes | 36,887 | 20,387 | 11,852 | ||||||||
Net income | 68,504 | 37,861 | 22,010 | ||||||||
Total assets | 5,553,012 | 4,277,970 | 5,553,012 | 4,277,970 | |||||||
Deposits | 8,521,401 | 7,530,241 | 8,521,401 | 7,530,241 | |||||||
Operating Segments | Home Lending | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net interest income | 58,354 | 50,404 | 58,015 | ||||||||
Provision for credit losses | (3,412) | 2,671 | 21,889 | ||||||||
Noninterest income | 90,358 | 87,021 | 69,899 | ||||||||
Noninterest expense | 124,683 | 144,848 | 136,374 | ||||||||
Provision (benefit) for income taxes | 9,604 | (3,533) | (10,622) | ||||||||
Net income | 17,837 | (6,561) | (19,727) | ||||||||
Total assets | 3,502,304 | 3,080,690 | 3,502,304 | 3,080,690 | |||||||
Deposits | 639,418 | 361,881 | 639,418 | 361,881 | |||||||
Treasury / Other | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net interest income | (121,144) | (27,445) | 78,498 | ||||||||
Provision for credit losses | (2) | (5) | 0 | ||||||||
Noninterest income | 64,035 | 70,721 | 90,118 | ||||||||
Noninterest expense | 322,964 | 99,578 | 121,035 | ||||||||
Provision (benefit) for income taxes | (247,001) | (118,818) | (61,299) | ||||||||
Net income | (133,070) | 62,521 | $ 108,880 | ||||||||
Total assets | 21,363,134 | 13,021,335 | 21,363,134 | 13,021,335 | |||||||
Deposits | $ 4,083,516 | $ 3,290,432 | $ 4,083,516 | $ 3,290,432 |
QUARTERLY RESULTS OF OPERATI166
QUARTERLY RESULTS OF OPERATIONS (UNAUDITED) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Interest income | $ 814,858 | $ 694,346 | $ 565,658 | $ 557,251 | $ 544,153 | $ 538,477 | $ 529,795 | $ 502,096 | $ 2,632,113 | $ 2,114,521 | $ 1,976,462 |
Interest expense | 79,877 | 68,956 | 59,777 | 54,185 | 47,242 | 43,022 | 39,109 | 34,411 | 262,795 | 163,784 | 139,321 |
Net interest income | 734,981 | 625,390 | 505,881 | 503,066 | 496,911 | 495,455 | 490,686 | 467,685 | 2,369,318 | 1,950,737 | 1,837,141 |
Provision for credit losses | 74,906 | 63,805 | 24,509 | 27,582 | 36,468 | 22,476 | 20,419 | 20,591 | 190,802 | 99,954 | 80,989 |
Noninterest income | 334,337 | 302,415 | 271,112 | 241,867 | 272,215 | 253,119 | 281,773 | 231,623 | 1,149,731 | 1,038,730 | 979,179 |
Noninterest expense | 681,497 | 712,247 | 523,661 | 491,080 | 498,766 | 526,508 | 491,777 | 458,857 | 2,408,485 | 1,975,908 | 1,882,346 |
Income before income taxes | 312,915 | 151,753 | 228,823 | 226,271 | 233,892 | 199,590 | 260,263 | 219,860 | 919,762 | 913,605 | 852,985 |
Provision for income taxes | 73,952 | 24,749 | 54,283 | 54,957 | 55,583 | 47,002 | 64,057 | 54,006 | 207,941 | 220,648 | 220,593 |
Net income | 238,963 | 127,004 | 174,540 | 171,314 | 178,309 | 152,588 | 196,206 | 165,854 | 711,821 | 692,957 | 632,392 |
Dividends on preferred shares | 18,865 | 18,537 | 19,874 | 7,998 | 7,972 | 7,968 | 7,968 | 7,965 | 65,274 | 31,873 | 31,854 |
Net income available to common shareholders | $ 220,098 | $ 108,467 | $ 154,666 | $ 163,316 | $ 170,337 | $ 144,620 | $ 188,238 | $ 157,889 | $ 646,547 | $ 661,084 | $ 600,538 |
Basic earnings per common share (in USD per share) | $ 0.20 | $ 0.12 | $ 0.19 | $ 0.21 | $ 0.21 | $ 0.18 | $ 0.23 | $ 0.19 | $ 0.72 | $ 0.82 | $ 0.73 |
Diluted earnings per common share (in USD per share) | $ 0.20 | $ 0.11 | $ 0.19 | $ 0.20 | $ 0.21 | $ 0.18 | $ 0.23 | $ 0.19 | $ 0.70 | $ 0.81 | $ 0.72 |
SUBSEQUENT EVENTS SUBSEQUENT EV
SUBSEQUENT EVENTS SUBSEQUENT EVENTS (Details) - FirstMerit Bank $ / shares in Units, $ in Billions | Aug. 16, 2016USD ($)$ / shares |
Business Combination, Separately Recognized Transactions [Line Items] | |
Stock and cash value of merger | $ | $ 3.7 |
Consideration transfered (in shares per share) | $ 1.72 |
Cash transfered (in USD per share) | $ 5 |